Correct Answer - Option 1 : 576
Given
Rate of interest in 1st condition = 10% per annum
compound interest = Rs 504
Formula Used
Simple Interest = (Principal × Time × Rate)/100
Calculation
R = 10% = 1/10
Time |
Principal |
Amount |
1st year |
10x |
11x |
2nd year |
10x |
11x |
Total |
100x |
121x |
⇒ C.I. = 504
⇒ 121x – 100x = Rs. 504
⇒ x = 24
Principal = 100x = 24 ×100 = Rs 2400
⇒ S.I. = (2400 × 4 × 6)/100
⇒ S.I. = Rs 576
∴ The simple Interest is Rs 576