The difference between compound interest and simple interest on a sum for 2 years at 20% per annum, when the interest is compounded annually is ₹32. If the interest were compounded half-yearly, the difference in two interests would be:
The difference between compound interest and simple interest on a sum for 2 years at 20% per annum, when the interest is compounded annually is ₹32. If the interest were compounded half-yearly, the difference in two interests would be:
Solution
✅ Correct Option: 3
For two years, difference , so .
Half-yearly: rate per half year for periods, so CI .
SI .
Difference .
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