On a certain sum, the compound interest for 2 years at 5% per annum is ₹1025. What is the simple interest on the same sum for the same time and rate (in ₹)?
Competition practiceSimple & Compound Interest
A1000
B1025
C950
D1050
Step-by-Step Solution
CI factor = 1.052−1=0.1025, so P=1025/0.1025=10000. SI = 10000×5×2/100= ₹1000.
Answer: A) 1000
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