Question

The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 9% per annum is Rs 405. The sum is ______ .

• A. 5000
• B. 10000
• C. 50000
• D. 100000

Answer 1

Answer:

C. 50000

If Diff. between SI & CI for 2 years is Rs. x, then Principal = x (100/r)^2 P = 405 x (100x100)/(9x9) → P = 50000.