In each of the following questions is followed by three statements study the question and the statements and decide the information given in which of the statement(s) is/are necessary to answer the question? On what amount the simple interest is Rs. 500? I. The compound interest on the same sum for two years is 484. II. Rate of interest is 5%. III. The difference between compound interest and simple interest on that sum is Rs. 41.

From I: CI for 2 years = 484. From II: Rate = 5%. Using CI formula, P(1.05)^2 - P = 484, so P(1.1025 - 1) = 484, P = 484/0.1025 = 4722. Then SI = PRT/100 = 4722 × 5 × 1/100 = 236.1. This doesn't equal 500. Need to re-examine. Actually: CI for 2 years at 5%: P[(1.05)^2 - 1] = P[0.1025] = 484, so P = 484/0.1025 = 4721.95. SI for 1 year = 4721.95 × 5 × 1/100 = 236.1. The answer E (None of these) is correct as no single statement gives the answer.