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Find the difference in amount and principal for RS. 4000 at the rate of 5% annual interest in 4 yr.

A) RS.865.50
B) RS.865
C) RS.400
D) RS.800

Correct Answer:




D) RS.800

Description for Correct answer:
The required difference in amount and principal is SI = A - P.

Here, P = RS. 4000, R = 5%, T = 4 yr

According to the formula,

SI = \( \Large \frac{P\times R\times T}{100} \)

= \( \Large \frac{4000\times 5\times 4}{100} \) =RS.800

Part of solved Simple and compound interest questions and answers : >> Aptitude >> Simple and compound interest

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