The difference between compound and simple interest on rupees 25000 at 4 p.a. for 4 years is

The difference between compound and simple interest on rupees 25000 at 4 p.a. for 4 years is

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RD Sharma Solutions Class 7 Mathematics Solutions for Simple Interest Exercise 13.1 in Chapter 13 - Simple Interest

Question 5 Simple Interest Exercise 13.1

A person deposits Rs 25000 in a firm who pays an interest at the rate of 20%per annum. Calculate the income he gets from it annually.

Answer:

Given Principal amount P = Rs 25000

Time period T = 1 year

Rate of interest R = 20% p.a.

We know that simple interest = (P × T × R)/100

On substituting these values in above equation we get

SI = (25000 × 1 × 20)/100

= Rs 5000

Video transcript

hello friends welcome to leader's online homework solving session today we'll be looking at the following question the questions state what are radicals and give the name of the radicals so here in this question we have to first state what is radicals and then we have to give the names of these radicals so radicals are basically it's a atom or a group of atoms of same or different elements that behave as a it may be of same or different elements that behave as a positive or negative ions these are called as radicals what does this mean is let's see an example now hydroxyl radical so so this hydroxyl radical if i want to represent it it is having one unpaired electron so here we can see there is a pairing here for a hydroxyl radical but this is unpaired electron that is we can say it is having unpaired valence electron and that is why these radicals are highly chemically reactive so that is what when i say an atom or group of atoms of same or different elements that behave as a positive or a negative ion why does they behave because of their unpaired balance electron now let's look at the names of this radicals out here so here the first one is nitrate no3 second one is hydroxide the third one so4 it is called as sulfate radical and the fourth co3 it is called as carbonate radical so friends this is how we approach this question hope you understood the solution in case if you have any doubts please feel free to drop a comment below and subscribe to this channel for regular updates thank you

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How much will Rs 25000 amount to in 2 years at compound interest, if the rates for 1st and 2nd years be 4% and 5% p.a. respectively?

Solution

Here P = Rs.25000, t = 2 years, r = 4%, 5% successively.
Now, Amount
= `"P"(1 + "r"_1/100)(1 + "r"_2/100)`

= `25000(1 + 4/100)(1 + 5/100)`

= `25000(104/100)(105/100)`
= 27300
Hence, Amount = Rs.27300.

Concept: Concept of Compound Interest - Use of Compound Interest in Computing Amount Over a Period of 2 Or 3-years

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What is the difference between simple interest and compound interest 25000?

The major difference between simple and compound interest is that simple interest is based on the principal amount of a deposit or a loan whereas the compound interest is based on the principal amount and interest that accumulates in every period of time.

What is the difference between compound interest and simple interest for 4 years?

The major difference between Compound and Simple Interest is that Simple Interest is based on the principal of a deposit or a loan whereas Compound Interest is based on the principal and interest that accumulates in every period of time.

What is the compound interest of rupees 2500 for 2 years at rate of interest 4 per annum?

= 2704 - 2500 = Rs. 204 C.I. - S.I.

What is the compound interest on rupees 20000 at 5% for 4 years?

Hence, compound interest on Rs. 20,000 for 4 years at 5% p.a. is Rs. 4,310.125.