The difference between the compound interest (compounding annually) and simple interest on a sum at the rate of 50 percent per annum for 2 years is Rs. 7200. What is the sum?

Correct option is A

Given:
Rate = 50%, Time = 2 years
CI - SI = Rs. 7200
Formula Used:
CI - SI = $$P \times \left(\frac{R}{100}\right)^2$$​​
Solution:
​$$7200 = P \times \left(\frac{50}{100}\right)^2\\P = Rs. \,28800$$​​