On what sum will the difference between the simple and compound interests for 3 years at 5 per cent per annum will be Rs.12.20? (a) Rs.1600 (b) Rs.800 (c) Rs.1200 (d) Rs.1500?

CAT Question

By Muthu Pandi · 4 weeks ago ·CAT
Yash Naryani answered 4 weeks ago
(OPTION A) 
Two approaches ; 
1. Calculating manually or
2. On simple interest of 5% for 3 years will be 15% and on compound by calculating you will get 15.7625%. 
Now the diff. in the both is 0.7625 which is equal to 12.20. 
For principle,    (12.20*100)/0.7625 = 1600

This discussion on On what sum will the difference between the simple and compound interests for 3 years at 5 per cent per annum will be Rs.12.20? (a) Rs.1600 (b) Rs.800 (c) Rs.1200 (d) Rs.1500? is done on EduRev Study Group by CAT Students. The Questions and Answers of On what sum will the difference between the simple and compound interests for 3 years at 5 per cent per annum will be Rs.12.20? (a) Rs.1600 (b) Rs.800 (c) Rs.1200 (d) Rs.1500? are solved by group of students and teacher of CAT, which is also the largest student community of CAT. If the answer is not available please wait for a while and a community member will probably answer this soon. You can study other questions, MCQs, videos and tests for CAT on EduRev and even discuss your questions like On what sum will the difference between the simple and compound interests for 3 years at 5 per cent per annum will be Rs.12.20? (a) Rs.1600 (b) Rs.800 (c) Rs.1200 (d) Rs.1500? over here on EduRev! Apart from being the largest CAT community, EduRev has the largest solved Question bank for CAT.