Numerical answer
A sum of money is invested for 2 years. The compound interest (compounded annually) exceeds the simple interest for the same period and rate of 10% per annum by ₹210. Find the sum (in ₹).
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Answer: 21000
For 2 years, CI − SI = P(r/100)². Here r = 10, so CI − SI = P × 0.01 = 210 ⟹ P = 21,000. Check: SI = 21000×10×2/100 = 4200. CI = 21000×(1.1² − 1) = 21000×0.21 = 4410. Difference = 4410 − 4200 = 210. ✓
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