Question

The given question consists of a set of statements. Find out whether the data provided in the statements is sufficient to answer the question and mark the appropriate option.

What was the total compound interest on a sum after 3 years?
I. The interest after one year was Rs.100 and the sum was Rs.1000.
II. The difference between the simple interest and compound interest on a sum of Rs.1000 at the end of 2 years was Rs.10.

• A. I alone is sufficient while II alone is not sufficient to answer
• B. II alone is sufficient while I alone is not sufficient to answer
• C. Either I or II alone is sufficient to answer
• D. Both I and II together is sufficient to answer
• E. Both I and II are not sufficient to answer

Answer 1

The correct option is C

Either I or II alone is sufficient to answer

I. We can calculate the rate of interest and with principal, ROI and time period known, we can calculate the compound interest.
II. With the difference between SI and CI given and principal known, we can calculate ROI and hence CI after 3 years.
The data in either of the statements is sufficient.