The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 4% per annum is Rs 1. Find the sum	Choose the most appropriate option:
A) Rs 600	B) Rs 625	C) Rs 650	D) Rs 675	E) None of these
Explanation:   Let the Sum be P   S.I.=P∗4∗2 /100=2P/25   C.I.=P(1+4/100)2−P   =676P/625−P   =51P/625   As, C.I. - S.I = 1   =&gt;51P/625−2P/25=1   =&gt;51P−50P/625=1   P=625   Option Rs 625
<result>B</result>
The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 4% per annum is Rs 1. Find the sum