If the compound interest on a certain sum at 16 (2/3)% to 3 years is Rs.1270, find the simple interest on the same sum at the same rate and f or the same period.

Correct Answer : A.

Let the sum be Rs. x. Then,

   C.I. = [ x * (1 + (( 50/(3*100))³ - x ] = ((343x / 216) - x) = 127x / 216

   127x /216 = 1270 or x = (1270 * 216) / 127 = 2160.

   Thus, the sum is Rs. 2160

    S.I. = Rs ( 2160 * (50/3) * 3 * (1 /100 ) ) = Rs. 1080.