Question

The simple interest on a certain principal for 3 years at 10% p.a is ₹ 300. Find the compound interest accrued in 3 years.

Answer 1

Let principal be ‘P’

Rate of interest is 10% p.a (r)

Time period (n) = 3 yrs.

Formula for simple interest

∴ P = (300×100)/(10×3) = 1000

Compound Interest = CI = A – P