compound interest on a sum of money for 2 years compounded annually is Rs 8034 simple interest on the same sum for the same period and at the same rate is Rs 7800 find the sum and the rate of interest​

LET ‘P’ BE PRINCIPAL, ‘r’ THE SIMPLE INTEREST IN FRACTION.

THEN 2 YEARS SIMPLE INT = P*2r = 7800 ————(1)

2 YEARS COMPOUND INT = P(1+r)^2 - P = 8034 ——- (2)

NOW (2)/(1) = [(1+r)^2 - 1]/2r = 8034/7800

SOLVING ‘r’ = 0.06, i.e 6% AND P = 65000