# Simple interest o

S.I = Rs.5200

Rate of simple interest =

time = 2 years

Let principal = Rs. P

so, by formula

=

=

Hence,

Principal = Rs. 40000

now,

Rate of compound interest =

Time = 2 years

so,

compound interest =

compound interest

compound interest = 45369 – 40000 = Rs.5369

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