Two equal sums were lent at 5% and 6% per annum compound interest for 2 years. If the difference in the compound interest was rupees 422, find: ¡) the equal sums ¡¡) compound interest for each sum. About the author Valentina

i) The equal sums are 20000 at 5% 20000 at 6% ii) Compound interest for each sum = RS 2050 interest in 5% RS 2472 interest in 6% To find: i) The equal sums at 5% and 6% ii) Compound interest for sums at 5% and 6% Given data: r = 5%, n = 2 years r = 6%, n = 2 years the difference in compound interest is rupees = RS 422 Formula: Solution: r = 5%, n = 2 year = = = 5 + 5 + 0.25 = 10.25% r = 6%, n = 2 years = = = 6 + 6 + 0.36 = 12.36% the difference in compound interest is rupees = RS 422 that is 12.36% – 10.25% = RS 422 2.11% = RS 422 then 100% = ? = = = RS 20000 P = 20000, N = 2, R = 5 – 20000 – 20000 = 20000 X – 20000 = 22050 – 20000 = RS 2050 P = 20000, N = 2, R = 6 – 20000 – 20000 = 20000 X – 20000 = 22472 – 20000 = RS 2472 Reply

i) The equal sums are 20000 at 5%20000 at 6%ii) Compound interest for each sum = RS 2050 interest in 5%RS 2472 interest in 6%To find:i) The equal sums at 5% and 6%ii) Compound interest for sums at 5% and 6%Given data:r = 5%, n = 2 yearsr = 6%, n = 2 yearsthe difference in compound interest is rupees = RS 422Formula:Solution:r = 5%, n = 2 year=== 5 + 5 + 0.25= 10.25%r = 6%, n = 2 years=== 6 + 6 + 0.36= 12.36%the difference in compound interest is rupees = RS 422that is 12.36% – 10.25% = RS 4222.11% = RS 422then 100% = ?=== RS 20000P = 20000, N = 2, R = 5– 20000– 20000= 20000 X – 20000= 22050 – 20000= RS 2050P = 20000, N = 2, R = 6– 20000– 20000= 20000 X – 20000= 22472 – 20000= RS 2472