If the compound interest on a sum at the rate of 10% p.a. for 2 years is Rs. 105, then find simple interest of same amount for same year and same rate of interest.
Answer & explanation
Correct answer: option 2
C.I. @10%pa for 2 years = 21%
S.I. @10%pa for 2 years = 20%
ATQ,
⇒ P × 21% = 105
⇒ P × 1% = \(\frac{105}{21}\) = 5
⇒ P × 20% = 5 × 20 = 100