The interest earned when a sum of Rs. 1,200/­ was invested for 4 years in scheme A (offering simple interest at the rate of 20% p.a.) was Rs. 1,460/­ less than the amount received when Rs. x was invested for 2 years in scheme B (offering compound interest compounded annually at the rate of 10% p.a.). What was x ?

Interest earned when a sum of Rs. 1,200/­ was invested for 4 years in scheme A at 20% S.I.

= $$\frac{1,200 \times 20 \times 4}{100}$$

= $$12 \times 80 = 960$$

Amount received when Rs. x was invested for 2 years in scheme B at 10% C.I.

= $$x (1 + \frac{10}{100})^2$$

= $$x (\frac{11}{10})^2 = \frac{121x}{100}$$

Acc to ques,

=> $$\frac{121x}{100} - 960 = 1460$$

=> $$\frac{121x}{100} = 1460 + 960 = 2420$$

=> $$x = \frac{2420 \times 100}{121}$$

=> $$x = 20 \times 100$$ = Rs. $$2,000$$