What is the difference between the compound interest and simple interest calculated on an amount of ₹ 16200 at the end of 3 yr at 25% pa? (Rounded off to two digits after decimal)
Correct Answer: ₹ 3290.63
Explanation:
Let required difference be ₹ D.
By formula,
D = P x (R/100)2 x [(3 + R)/100]
= 16200 x (25/100)2 x [(3 + 25)/100]
= 16200 x 625/10000 x 13/4
= 162 x 625 x 13/4 x 100 = ₹ 3290.63
