Mathematics

Assertion (A): On ₹ 4,000, the simple interest in 3 years and at 5% p.a. is ₹ 600. The compound interest on the same sum at the same rate percent and at the end of second year will be ₹ 210. Reason (R): For first year, C.I. = S.I. for one year = ₹600/3 = ₹200 . ∴ C.I at the end of second year = ₹ 200 + interest of one year on ₹ 200. 1. A is true, R is false. 2. A is false, R is true. 3. Both A and R are true. 4. Both A and R are false.

Compound Interest

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