SOLUTION: Find out the difference between simple interest on Rs.600/- for 4 year at the rate of 5% and 10%?

Question 1117688: Find out the difference between simple interest on Rs.600/- for 4 year at the rate of 5% and 10%?

Found 4 solutions by addingup, MathTherapy, greenestamps, ikleyn:
Answer by addingup(3677)   (Show Source): You can put this solution on YOUR website!
A = P(1 + rt)
A = 600(1 + 0.05*4)
A = 600(1.2) = 720
:
you do the 10%, follow my steps above.
Answer by MathTherapy(10552)   (Show Source): You can put this solution on YOUR website!

Find out the difference between simple interest on Rs.600/- for 4 year at the rate of 5% and 10%?

There he goes again!
How can SIMPLE INTEREST on an amount (principal) be larger than the amount (principal) itself?
In other words, how can INTEREST on Rs 600 be Rs 720?
Is it that difficult for someone who claims to know math, to see that? I guess it is!
If you know better and you've figured out the correct answer, I guess I don't have to tell
you to STAY away from that answer, and desist from doing the other problem using that method.
Answer by greenestamps(13200)   (Show Source): You can put this solution on YOUR website!

The first tutor addingup gave a rather cryptic response showing the first part of one method for finding the answer to the question; I don't know if you saw where he was going with his solution and were thus able to finish the problem.

Tutor MathTherapy then provided his usual response containing only a criticism of the other tutor's response, without any help to you about how to solve the problem. His response also obviously indicates he doesn't understand the approach the first tutor was taking on the problem.

So the first tutor showed you what the total amount would be after 4 years at 5% and suggested that you do the same computation for 10%; then the difference would be the difference between the two amounts.

The computation can be done more easily.

Because it is simple interest, the difference between the amounts at the end of 4 years is just the difference in the amount of interest at 5% and at 10%. And that difference is just the amount of interest on the Rs. 600 at the difference of the two interest rates -- 10%-5% = 5%.

So the answer to the problem, in one calculation is

I = prt:

Answer: The difference between simple interest on Rs.600/- for 4 years at the rates of 5% and 10% is Rs.120.
Answer by ikleyn(52781)   (Show Source): You can put this solution on YOUR website!
.

Simple interest on Rs 600 for 4 years at the rate of 5% is Rs 600*0.05*4 = Rs 120. Simple interest on Rs 600 for 4 years at the rate of 10% is Rs 600*0.1*4 = Rs 240. The difference (the value under the question) is Rs 240 - Rs 120 = Rs 120.

Solved.

RELATED QUESTIONS
The difference between simple compound interest on rs 1625 for 3 year at 4% per annum in... (answered by fractalier)
The difference between simple and compound interest on Rs. 1625 for 3 years at 4% per... (answered by ewatrrr)
The difference between simple interest and compound interest from RS 10000 at 5% rate in... (answered by dkppathak)
Susan invests R45 000 at a simple interest rate of 6% per year. Two years later, she adds (answered by )
the difference between the simple interest and compound interest for 3 year at 5% is $61, (answered by josmiceli)
On what sum of money wil the difference between thecompound interest and simple interest (answered by KMST)
Find the difference between the compound interest and simple interest on a sum of $50,000 (answered by rfer)
Find the simple interest and the total payback amount on a loan of $600 at an annual rate (answered by checkley75)
Find the simple interest owed on a 4 year loan for $4,200 at an annual interest rate of... (answered by rfer)