Multiple choice

Find the difference between simple interest andcompound interest on amount of Rs. 6400 for two years atthe rate of 12.5% per annum?

  1. 200 Rs.

  2. 100 Rs

  3. 150 Rs.

  4. 250 Rs.

  5. 300 Rs.
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

For 2 years, CI - SI = P * (r/100)^2. CI - SI = 6400 * (12.5/100)^2 = 6400 * (1/8)^2 = 6400 / 64 = 100.

AI explanation

For two years, the difference between simple interest and compound interest is calculated using the formula principal times the square of the rate divided by 10000. Substituting the values gives 6400 times 12.5 squared divided by 10000, which equals 6400 times 156.25 divided by 10000, resulting in Rs. 100.

Keep practicing — related questions