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Explanation:
Let that amount be Rs.x and rate is r%.Then, for simple interestx×r/100=25=> x×r=2500 … … (i)For true discount(x−20)×r/\100=20x×r−20r\100=20=> xr – 20r = 2000 … … (ii)From Eqs. (i) and (ii), we get2500 – 20r = 2000=> r = 25%From Eq. (i)x×258 = 2500=> x = Rs.100