What is the difference between compound interest and simple interest for 2 years on the sum of Rs. 6,800 at 15% per annum?

Question

Question

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SSC GD Constable Memory Based Test (23 Jan 2023 Shift 1)

Answer 1

Given:-

Time (T) = 2 years

Rate (R) = 15 % per annum

Principal (P) = Rs 6800

Compound Interest (CI) – Simple Interest (SI) =?

Formula used:-

⇒D = PR² / 100² , [D = Difference between Compound Interest & Simple Interest ]

Calculation:-

⇒ D = 6800 × (15)² / (100)²

⇒ D = 6800 × 225 /10000

⇒ D = 153

∴The required value of D is 153.

Additional Information
If the difference between compound and simple interest is of three years,

Difference = 3 x P(R)²/(100)² + P (R/100)³.