Question

The Simple interest on a sum for one
year at 8% pa is Rs 400. The
Compound Interest for the second
year will be Rs.​

Answer 1

Answer:

Correct option is

C

Rs.1750

Principle= Rs 4000

time=2 year

Rate=10%

Compound interest=P×(1+r)n−P

I=P{(1+r)n−1}

I=4000(1+.10)2−1

I=4000(1.21−1)

I=840

AS per question, 

Simple interest=840/2=420=PRT/100

S0, I=420=P×0.08×3

I=1750Rs

Answer (C) 1750 Rs