Question 51

The compound interest on a certain sum of money at 21% for 2 years is ₹9,282. Its simple interest (in ₹) at the same rate and for the same period is:

Solution

Given, Compound interest (C.I) = ₹9,282

Rate (R%) = 21%, Time (T) = 2 years

Let the Pricipal Amount be P

$$=$$> $$9282=P\left(1+\frac{21}{100}\right)^2-P$$

$$=$$> $$9282=P\left(\frac{121}{100}\right)^2-P$$

$$=$$> $$9282=P\left(\frac{14642}{10000}\right)-P$$

$$=$$> $$9282=\frac{4642}{10000}P$$

$$=$$> $$P=2\times10000$$

$$=$$> $$P=₹20000$$

$$\therefore\ $$Simple Interest$$=\frac{PTR}{100}=\frac{20000\times2\times21}{100}=₹8400$$

Hence, the correct answer is Option B


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