1) The compound interest on a certain sum of money at 5% for 2 years is Rs. 328. The simple interest on that sum at the same rate and for the same period of time will be A) Rs. 320 B) Rs. 322 C) Rs. 325 D) Rs. 326 E) Rs. 321 Answer: Option AExplanation:C.I =p[(1+R100)T−1] ⇒p[(1+5100)2−1] ⇒328 =p(441400−1) ⇒328 =p(41100) ⇒p =328×40041 =3200 SI =PRT100 =3200×5×2100 = Rs. 320.