The difference between the compound interest (compounded annually) and the simple interest on a sum of ₹5000 at a certain rate of interest for 2 years is ₹72. The rate of interest per annum is:

12%` 15% 10% 14%

12%`

Difference b/w CI and SI for 2 years = Principal × R% × R% ⇒ 72 = 5000 × \(\frac{R^2}{10000}\) ⇒ R2 = \(\frac{720}{5}\) = 144 ⇒ R = 12%