The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 4% per annum is Re. 1. The sum (in Rs.) is:

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Accepted Answer

Let the sum be Rs. x. Then, C.I. = [ x ❨ 1 + <…

S.I. =	❨	x x 4 x 2	❩	=	2x	.
		100			25

∴	51x	-	2x	= 1
	625		25

The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 4% per annum is Re. 1. The sum (in Rs.) is:

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