If the simple interest on the certain sum for 2 years at the rate of 5% per annum is ₹ 4,000, then the sum is: *
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Let the principal amount be ‘x’.
Interest gained for 2 years at 5% interest = x * 5/100 * 2 = x * 10/100
Now, x * 10/100 = ₹4000
x = ₹40000
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