2017 · Q43
The difference between the compound interest (compounded annually) and simple interest on a sum of money deposited for 2 years at 5% per annum is ₹ 15. What is the sum of money deposited ?
Elementary MathematicsSimple and Compound Interest
- A₹ 6,000
- B₹ 4,800
- C₹ 3,600
- D₹ 2,400
Explanation
For 2 years, CI−SI = P(r/100)². With r = 5: P×(0.05)² = 15, so P = 15/0.0025 = 6000. Hence option (A) ₹6,000.