The compound interest on a certain sum of money for 2 years at 5% is Rs. 328, then the sum is

The formula for compound interest is A = P(1 + r/n)^(nt), where:

• A is the amount of money accumulated after n years, including interest.
• P is the principal amount (the initial amount of money).
• r is the annual interest rate (in decimal).
• n is the number of times that interest is compounded per year.
• t is the time the money is invested for in years.

In this case, we know that A (the total amount after 2 years) is the initial sum plus the compound interest, which is Rs. 328. We also know that the annual interest rate r is 5%, or 0.05 in decimal form, and that the interest is likely compounded annually (n=1) for t=2 years.

We can set up the equation and solve for P (the initial sum of money):

328 = P(1 + 0.05/1)^(1*2)

328 = P(1.05)^2

328 = P*1.1025

P = 328 / 1.1025

P = Rs. 297.62

So, the initial sum of money was approximately Rs. 297.62.