📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

    Question

    The difference between compound and simple interest on a

    sum of money for 2 years at 20% per annum is Rs. 987. The sum is:
    A 24,675 Correct Answer Incorrect Answer
    B 42,100 Correct Answer Incorrect Answer
    C 35,600 Correct Answer Incorrect Answer
    D 13,200 Correct Answer Incorrect Answer

    Solution

    Difference of compound interest and simple interest for 2 years = P(R/100)2 = P (20/100)2 ⇒  987 = P (1/25) ⇒  P = 987 × 25 = Rs. 24,675

    Practice Next
    More Simple and compound interest Questions

    Relevant for Exams:

    ask-question