The difference between the compound Interest and simple Interest for the amount Rs.5,000 In 2 years Is Rs 32. The rate of Interest is

Difference of 2 years

$\frac{principal\times (rate)^{2}}{10000}$

32= $\frac{5000\times (r)^{2}}{10000}$

$r^{2}$ = $\frac{32\times 1000}{5000}$ = 64

r = $\sqrt{64}$ = 8%

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