Devesh gave Manavt 1,250 on compound interest for 2 yearsless would De

1.	Devesh gave Manavt 1,250 on compound interest for 2 yearsless would Devesh have got had he given the money to Manav for 2 years on simple interest at the rateof 4% per annum?2at the rate of 12% per annum. How much
Answer» Given,For compound interestP=1250, R = 12%, n = 2 A1 = P(1 + R/100)^nA1 = 1250(1 + 12/100)^2A1 = 1250(29/25)^2A1 = 1250(1.3456)A1 = 1682 For simple interestP = 1250, R = 4%, T = 2 SI = PRT/100SI = 125042/100SI = 100 A2 = P + SI = 1250 + 100A2 = 1350 Therefore, Devesh would get (1682 - 1350) = Rs 332 less

Devesh gave Manavt 1,250 on compound interest for 2 yearsless would Devesh have got had he given the money to Manav for 2 years on simple interest at the rateof 4% per annum?2at the rate of 12% per annum. How much

Answer»

Given,For compound interestP=1250, R = 12%, n = 2

A1 = P(1 + R/100)^nA1 = 1250(1 + 12/100)^2A1 = 1250(29/25)^2A1 = 1250(1.3456)A1 = 1682

For simple interestP = 1250, R = 4%, T = 2

SI = P*R*T/100SI = 1250*4*2/100SI = 100

A2 = P + SI = 1250 + 100A2 = 1350

Therefore, Devesh would get (1682 - 1350) = Rs 332 less