Railways Exam  >  Railways Questions  >  The difference between simple and compound in... Start Learning for Free
The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?
  • a)
    Rs. 12500
  • b)
    Rs. 6250
  • c)
    Rs. 25000
  • d)
    Rs. 18750
Correct answer is option 'B'. Can you explain this answer?
Verified Answer
The difference between simple and compound interests compounded annual...
We know the formula for compound interest -
Where,
CI = Compound interest
P = Principal
R = Rate of interest
T = Time period
Let the principal be P
CI = P (1 + 8/100) 2 - P = 104P/625
SI = P × 8 × 2/100 = 4P/25
CI - SI = 40
104P/625 - 4P/25 = 40
P = 40 × 625/4 = Rs. 6250
View all questions of this test
Explore Courses for Railways exam
The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?a)Rs. 12500b)Rs. 6250c)Rs. 25000d)Rs. 18750Correct answer is option 'B'. Can you explain this answer?
Question Description
The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?a)Rs. 12500b)Rs. 6250c)Rs. 25000d)Rs. 18750Correct answer is option 'B'. Can you explain this answer? for Railways 2024 is part of Railways preparation. The Question and answers have been prepared according to the Railways exam syllabus. Information about The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?a)Rs. 12500b)Rs. 6250c)Rs. 25000d)Rs. 18750Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for Railways 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?a)Rs. 12500b)Rs. 6250c)Rs. 25000d)Rs. 18750Correct answer is option 'B'. Can you explain this answer?.
Solutions for The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?a)Rs. 12500b)Rs. 6250c)Rs. 25000d)Rs. 18750Correct answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for Railways. Download more important topics, notes, lectures and mock test series for Railways Exam by signing up for free.
Here you can find the meaning of The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?a)Rs. 12500b)Rs. 6250c)Rs. 25000d)Rs. 18750Correct answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?a)Rs. 12500b)Rs. 6250c)Rs. 25000d)Rs. 18750Correct answer is option 'B'. Can you explain this answer?, a detailed solution for The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?a)Rs. 12500b)Rs. 6250c)Rs. 25000d)Rs. 18750Correct answer is option 'B'. Can you explain this answer? has been provided alongside types of The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?a)Rs. 12500b)Rs. 6250c)Rs. 25000d)Rs. 18750Correct answer is option 'B'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 8% per annum is Rs. 40. What is the sum?a)Rs. 12500b)Rs. 6250c)Rs. 25000d)Rs. 18750Correct answer is option 'B'. Can you explain this answer? tests, examples and also practice Railways tests.
Explore Courses for Railways exam

Top Courses for Railways

Explore Courses
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev