NCERT Class 8 Mathematics Solutions: Chapter 8 – Comparing Quantities Exercise 8.3 Part 2

Get unlimited access to the best preparation resource for IMO-Level-2 Class-8: Get full length tests using official NTA interface: all topics with exact weightage, real exam experience, detailed analytics, comparison and rankings, & questions with full solutions.

Download PDF of This Page (Size: 173K)

Compute compound interest

Compute Compound Interest

Loading Image

Question: 2 Kamala borrowed Rs. 26,400 from a Bank to buy a scooter at a rate of 15% p.a. compounded yearly. What amount will she pay at the end of 2 years and 4 months to clear the loan?

(Hint: Find A for 2 years with interest is compounded yearly and then find SI on the 2nd year amount for years.)

Answer:

Here, Principal (P) = Rs. 26,400, Time (n) = 2 years and 4 month, Rate of Interest (R)

Amount (A)

Interest for 4 months = years at the rate of 15%

Total amount

Question: 3 Fabina borrows Rs.12, 500 per annum for 3 years at simple interest and Radha borrows the same amount for the same time period at 10% per annum, compounded annually. Who pays more interest and by how much?

Answer:

Here,

Principal (P) = Rs. 12,500, Time (n) = 3 years, Rate of Interest (R)

Simple Interest for Fabina =

Amount for Radha, P = Rs. 12,500, R= 10% and n=3 years

Amount (A)

C.I for Radha

Here, Fabina pays more interest

Question 4: I borrows Rs. 12,000 from Jamshed at 6% per annum simple interest for 2 years. Had I borrowed this sum at 6% per annum compound interest, what extra amount would I have to pay?

Answer:

Here, Principal (P) = Rs. 12,000, Time (n) = 2 years, Rate of Interest (R)

Simple Interest for Fabina =

Had he borrowed this sum at 6% p.a., then

Compound Interest

Difference in both interests = Rs. 1,483.20 – Rs. 1,440.00 = Rs. 43.20

Hence, extra amount Rs. 43.20 you have to pay.