1.

Find the principal which yields a simple interest of Rs. 20 and compound interest of Rs. 21 in two years, at the same percent rate per annum?

Answer»

RS. 200



SI in 2 YEARS = Rs. 20, SI in 1 year = Rs. 10 
CI in 2 years = Rs. 21
% rate per annum = [(CI – SI) / (SI in 1 year)] *100
= [(21 – 20) / 20] * 100
= 5 % p.a.
Let the principal be Rs. X
Time = T = 2 years
% rate = 5% p.a. 
SI = (PRT/100)
20 = (X*5*2) / 100
X = Rs. 200



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