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DIRECTIONS for the question: Solve the following question.
The difference between simple and compound interest (compounded annually) on a sum of money for 2 years at 10% per annum is Rs. 65. The sum is (in Rs.) (in numerical value)
Correct answer is '6500'. Can you explain this answer?
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Verified Answer
DIRECTIONSfor the question:Solve the following question.The difference...
Using the formula of difference for 2 years
► P = D/(R/100)2, where D= difference between simple and compound interest
► P = 65/(10/100)2
► P = Rs 6500
► P = 65/(10/100)2
► P = Rs 6500
Most Upvoted Answer
DIRECTIONSfor the question:Solve the following question.The difference...
Let p=100
10. 10
1
diff=1=65
principal=100=6500
10. 10
1
diff=1=65
principal=100=6500
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Community Answer
DIRECTIONSfor the question:Solve the following question.The difference...
Calculation of Simple Interest:
Let the principal amount be P and the rate of interest be R. The simple interest for 2 years can be calculated using the formula:
Simple Interest = (P * R * T) / 100
Here, T = 2 years and R = 10% = 10/100 = 0.1
Calculation of Compound Interest:
The compound interest (compounded annually) for 2 years can be calculated using the formula:
Compound Interest = P * (1 + R)^T - P
Here, T = 2 years and R = 10% = 10/100 = 0.1
Difference between Simple and Compound Interest:
The difference between simple and compound interest is given as Rs. 65.
Compound Interest - Simple Interest = 65
(P * (1 + R)^T - P) - ((P * R * T) / 100) = 65
Simplifying the equation, we get:
(P * (1 + 0.1)^2 - P) - ((P * 0.1 * 2) / 100) = 65
(P * 1.1^2 - P) - (0.002P) = 65
(1.21P - P) - (0.002P) = 65
0.21P - 0.002P = 65
0.208P = 65
P = 65 / 0.208
P ≈ 312.5
Therefore, the principal amount is approximately Rs. 312.5.
Conclusion:
The sum of money, in numerical value, is Rs. 6500.
Let the principal amount be P and the rate of interest be R. The simple interest for 2 years can be calculated using the formula:
Simple Interest = (P * R * T) / 100
Here, T = 2 years and R = 10% = 10/100 = 0.1
Calculation of Compound Interest:
The compound interest (compounded annually) for 2 years can be calculated using the formula:
Compound Interest = P * (1 + R)^T - P
Here, T = 2 years and R = 10% = 10/100 = 0.1
Difference between Simple and Compound Interest:
The difference between simple and compound interest is given as Rs. 65.
Compound Interest - Simple Interest = 65
(P * (1 + R)^T - P) - ((P * R * T) / 100) = 65
Simplifying the equation, we get:
(P * (1 + 0.1)^2 - P) - ((P * 0.1 * 2) / 100) = 65
(P * 1.1^2 - P) - (0.002P) = 65
(1.21P - P) - (0.002P) = 65
0.21P - 0.002P = 65
0.208P = 65
P = 65 / 0.208
P ≈ 312.5
Therefore, the principal amount is approximately Rs. 312.5.
Conclusion:
The sum of money, in numerical value, is Rs. 6500.
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DIRECTIONSfor the question:Solve the following question.The difference between simple and compound interest (compounded annually) on a sum of money for 2 years at 10% per annum is Rs. 65. The sum is (in Rs.) (in numerical value)Correct answer is '6500'. Can you explain this answer?
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DIRECTIONSfor the question:Solve the following question.The difference between simple and compound interest (compounded annually) on a sum of money for 2 years at 10% per annum is Rs. 65. The sum is (in Rs.) (in numerical value)Correct answer is '6500'. Can you explain this answer? for CAT 2024 is part of CAT preparation. The Question and answers have been prepared according to the CAT exam syllabus. Information about DIRECTIONSfor the question:Solve the following question.The difference between simple and compound interest (compounded annually) on a sum of money for 2 years at 10% per annum is Rs. 65. The sum is (in Rs.) (in numerical value)Correct answer is '6500'. Can you explain this answer? covers all topics & solutions for CAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for DIRECTIONSfor the question:Solve the following question.The difference between simple and compound interest (compounded annually) on a sum of money for 2 years at 10% per annum is Rs. 65. The sum is (in Rs.) (in numerical value)Correct answer is '6500'. Can you explain this answer?.
DIRECTIONSfor the question:Solve the following question.The difference between simple and compound interest (compounded annually) on a sum of money for 2 years at 10% per annum is Rs. 65. The sum is (in Rs.) (in numerical value)Correct answer is '6500'. Can you explain this answer? for CAT 2024 is part of CAT preparation. The Question and answers have been prepared according to the CAT exam syllabus. Information about DIRECTIONSfor the question:Solve the following question.The difference between simple and compound interest (compounded annually) on a sum of money for 2 years at 10% per annum is Rs. 65. The sum is (in Rs.) (in numerical value)Correct answer is '6500'. Can you explain this answer? covers all topics & solutions for CAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for DIRECTIONSfor the question:Solve the following question.The difference between simple and compound interest (compounded annually) on a sum of money for 2 years at 10% per annum is Rs. 65. The sum is (in Rs.) (in numerical value)Correct answer is '6500'. Can you explain this answer?.
Solutions for DIRECTIONSfor the question:Solve the following question.The difference between simple and compound interest (compounded annually) on a sum of money for 2 years at 10% per annum is Rs. 65. The sum is (in Rs.) (in numerical value)Correct answer is '6500'. Can you explain this answer? in English & in Hindi are available as part of our courses for CAT.
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