Question : If the difference between the compound interest and simple interest at 17% on a sum of money for 2 years (compounded annually) is INR 433.50, then the sum (in INR) is:
Option 1: 15,000
Option 2: 25,000
Option 3: 20,000
Option 4: 12,000
Correct Answer: 15,000
Solution :
Difference between Compound Interest and Simple Interest for 2 years =
⇒ 433.50 =
⇒ 43350 × 100 =
⇒
Hence, the correct answer is 15,000.