Arithmetic Ability
Compound Interest

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Q.

The difference between simple and compound interest compounded annually on a certain sum of money for 2 years at 4% per annum is re.1. the sum is

View Answer

Correct choice: A

Explanation:

sum=Rs.x C.I=[x(1+4/100)^2-x]=(676/625x-x)=51/625 S.I=(x*4*2)/100=2x/25 x=625
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