Question

The difference of interest for 2 years and 3 years on a sum of ₹ 2100 at 8% per annum is ______.

Answer 1

The difference of interest for 2 years and 3 years on a sum of ₹ 2100 at 8% per annum is ₹ 168.

Explanation:

From the question it is given that,

P = ₹ 2100

Time = 2 years

Rate = 8%

Then, we know the formula of Simple interest

`I = (P xx R xx T)/100`

`I = (2100 xx 2 xx 8)/100`

`I = 33600/100`

I = ₹ 336

Then, Time = 3 years

`I = (P xx R xx T)/100`

`I = (2100 xx 3 xx 8)/100`

`I = 50400/100`

I = ₹ 504

The difference of interest for 2 years and 3 years = 3 years – 2 years

= ₹ 504 – ₹ 336

= ₹ 168