A sum of ₹10000 amounts to ₹11664 in 2 years, at a certain rate percent per annum, when the interest is compounded yearly. What will be the simple interest on the same sum for $$5\frac{2}{5}$$ years at the same rate?
with the given information we can say that
A=P$$(1+r\div{100})^{n}$$
where n is the time for which the amount is invested
applying this we get
11664=$$10000\times{\frac{(100+r)}{(100)}}^{2}$$
so we get
$$108^{2}$$= $$(100+r)^{2}$$
removing the square from both the sides we get
108 = 100+r
therefore r=8
so now for simple interest we know
SI= $$PRT\div{100}$$
SI= $$(10000\times{8}\times\frac{27}{5})\div{100}$$
SI=4320
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