If the compound interest on a certain sum for 2 years at 3% per annum is Rs.101.50, then the simple interest on the same sum at the same rate and for the same time will be
Options:
A . Rs.98.25
B . Rs.90.00
C . Rs.100.00
D . Rs.95.50
Answer: Option C Answer: (c)Let the sum be P.101.50 = P$[(1 + 3/100)^2 - 1]$[Since, C.I. = P$[(1 + r/100)^n - 1]$]101.50 = P$[(103/100)^2 - 1]$=P$({10609 - 10000}/10000)$P = Rs.${101.50 × 10000}/609 = Rs.1015000/609$S.I. = ${1015000 × 2 × 3}/{609 × 100}$ = Rs.100 Using Rule 10,The simple interest for a certain sum for 2 years at an annual rate interest R% is S.I., thenC.I. = S.I.$(1 + R/200)$
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