When invested at 10% annual simple interest, a sum becomes ₹ 3360 after 2 years. What will be the simple interest (in ₹) on the same sum for 2 years at the same rate of interest?

Amount after 2 years = ₹3360

Rate = 10% per annum

Time = 2 years

Let principal = $P$

Simple interest formula:

Amount = Principal + SI

$3360 = P + \frac{P \times 10 \times 2}{100}$

$3360 = P + 0.2P$

$3360 = 1.2P$

$P = \frac{3360}{1.2}$

$P = 2800$

Now, simple interest for 2 years:

$SI=\frac{2800 \times 10 \times 2}{100}$

$=560$

$\therefore$ Correct Answer: ₹560 ✅