If the compound interest on a certain sum for 2 years at

If the compound interest on a certain sum for 2 years at 4% p.a. is ₹ 102, the simple interest at the same rate of interest for two years would be

Here , Compound Interest ( CI ) = ₹ 102 , Rate ( R ) = 4% , Time = 2 years
If the sum ( Principal ) be P, then

C.I. = P			1 +	R		^T	− 1
				100

⇒ 102 = P			1 +	4		²	− 1
				100

⇒ 102 = P			26		²	− 1
			25

⇒ 102 = P		676	− 1
		625

⇒ 102 = P		676 − 625
		625

⇒ 102 = P ×	51
	625

⇒ P =	102 × 625	= ₹ 1250
	51

∴ S.I.=	1250 × 2 × 4	= ₹ 100
	100