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    The difference between the simple interest and the compound interest compounded annually at the same rate of interest on a sum of money at the end of two years is INR 50/-. What is definitely the rate of interest percent per annum?

  • 10%
  • 4%
  • Data provided are not adequate to answer the question
  • 5%
  • 7.5%
  • Explanation:

    Let the rate of interest be INR x.

    Difference between SI and CI = INR 50/-

    Applying formula,

    Difference = PR2/1002

    But P is not provided. Therefore, we cannot solve it due to insufficient data.


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