The difference between simple interest and compound interest on a certain sum of money in three years at 10% per annum rate is ₹15.50. The sum is
Answer & explanation
Correct answer: option 1
We know that CI for 3 years at the rate of 10% = 33.1%
and SI for 3 years for the same rate = 30%
So the difference = 33.1 - 30 = 3.1%
So, according to the question,
3.1% of principal = 15.50
Then, 100% of principal = ₹500