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  1. Chapter 8 Class 8 Comparing Quantities
  2. Serial order wise
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Ex 8.3, 3 Fabina borrows Rs 12,500 at 12% 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? Fabina (Simple Interest) Principal (P) = 12, 500 Rate (R) = 12% per Annum Time (t) = 3 years. Interest (I) = (๐‘ƒ ร— ๐‘… ร— ๐‘‡)/100 = (12500 ร— 12 ร— 13)/100 = 125 ร— 36 = 4500 Radha (Compound Interest) Principal (P) = 12, 500 Rate (R) = 10% per Annum Time (t) = 3 years. Amount (A) = (1+๐‘…/100)^๐‘› = 12500 (1+10/100)^3 = 12500 (1+1/10)^3 = 12500 ((10 + 1)/10)^3 = 12500 (11/10)^3 = 12500 ((11 ร— 11 ร— 11)/(10 ร—10 ร—10)) = 12500 ((121 ร— 11)/1000) = (125 ร— 1331)/10 = 166375/10 = 16637.5 Now Amount = Principal + Interest 16637.5 = 12500 + Interest 16637.5 โ€“ 12500 = Interest 4137.5 = Interest โˆด Interest = 4137.5 โˆด Interest paid by Fabina = Rs 4500 & interest Paid by Radha = Rs 4137.5 Since 4500 > 4.137.5 โˆด Fabina Paid more interest than Radha. Also, Interest paid by Fabina โ€“ Interest Paid by Radha = 4500 โ€“ 4137.5 = 362.50 โˆด Fabina pays Rs 362.50 more than Radha

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Davneet Singh is a graduate from Indian Institute of Technology, Kanpur. He has been teaching from the past 8 years. He provides courses for Maths and Science at Teachoo. You can check his NCERT Solutions from Class 6 to 12.