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Find the (approx.) difference between the compound interest and the simple interest on Rs. 16,000 at 10% p.a. for 6 years.
  • a)
    2250
  • b)
    2520
  • c)
    2940
  • d)
    2720
Correct answer is option 'D'. Can you explain this answer?
Verified Answer
Find the (approx.) difference between the compound interest and the si...
According to the given information, P = 16,000; R = 10%; T = 6
We know that the Simple interest 


= 16000 × 0.77 = 12320  
Thus, the difference between the compound interest and the simple interest
= 12320 – 9600 = 2720
Hence, the difference is approximately Rs. 2720
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Find the (approx.) difference between the compound interest and the simple interest on Rs. 16,000 at 10% p.a. for 6 years.a)2250b)2520c)2940d)2720Correct answer is option 'D'. Can you explain this answer?
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