The difference between the compound interest and simple interest on Rs. x at 8.5% per annum for 2 years is Rs. 28.90. The value of x is

Solution (By Examveda Team)

$$\eqalign{ & 28.90 = x{\left( {\frac{{8.5}}{{100}}} \right)^2} \cr & 28.90 = \frac{{x \times 8.5 \times 8.5}}{{10000}} \cr & 1.7 = \frac{{x \times 0.5 \times 8.5}}{{10000}} \cr & 0.1 \times 10000 = x \times 0.5 \times 0.5 \cr & x = {\text{Rs}}{\text{. }}4000 \cr} $$