Simple interest


  1. Mr. Patel borrowed Rs. 8000 from Mr. Chobey at simple interest. After 2 years he paid Rs. 800 more than what be borrowed and thus cleared the loan. What was the rate of interest ?









  1. View Hint View Answer Discuss in Forum

    Rate = (Interest x 100) / (Principal x Time)

    Correct Option: C

    Rate = (Interest x 100) / (Principal x Time)
    = (800 x 100) / (8000 x 2)
    = 5%


  1. Rs. 4200 amounts to Rs. 5712 in 4 years. If rate of interest is increased by 3%. What will be the amount ?









  1. View Hint View Answer Discuss in Forum

    S.I = Principal x Rate x Time / 100
    ∴ Amount - Principal = Principal x Rate x Time / 100
    ⇒ 5712 - 4200 = (4200 x Rate x 4) /100
    ⇒ 1512 = 42 x 4 x Rate
    Rate = 1512 / (42 x 4) = 9%
    On increasing 3%, new rate of interest = 9 + 3 = 12%

    Correct Option: C

    S.I = Principal x Rate x Time / 100
    ∴ Amount - Principal = Principal x Rate x Time / 100
    ⇒ 5712 - 4200 = (4200 x Rate x 4) /100
    ⇒ 1512 = 42 x 4 x Rate
    Rate = 1512 / (42 x 4) = 9%
    On increasing 3%, new rate of interest = 9 + 3 = 12%

    Simple interest on new rate = (4200 x 12 x 4) / 100 =Rs. 2016
    Amount = Principal + Interest = 4200 + 2016 = Rs. 6216



  1. In how many years, a sum will become four times itself at the rate of 12% per annum ?









  1. View Hint View Answer Discuss in Forum

    Let the sum be ₹ P .
    Then, SI = 4P - P = ₹ 3P
    (P x 12 x T)/100 = 3P

    Correct Option: B

    Let the sum be ₹ P .
    Then, SI = 4P - P = ₹ 3P
    (P x 12 x T)/100 = 3P
    ⇒ T = (3 x 100)/12 = 25 yr


  1. At simple interest of 5%, 6% and 8% for three consecutive years, the interest earned is ₹ 760. find the principle. ?









  1. View Hint View Answer Discuss in Forum

    Let the principle be ₹ P .
    Then,
    (P x 1 x 5)/100 + (P x 1 x 6)/100 + (P x 1 x 8)/100 = 760

    Correct Option: C

    Let the principle be ₹ P .
    Then,
    (P x 1 x 5)/100 + (P x 1 x 6)/100 + (P x 1 x 8)/100 = 760
    ⇒ 5P/100 + 6P/100 + 8P/100 = 760
    ⇒ 19P = 760 x 100
    ∴ P = (760 x 100)/19 = ₹ 4000
    Hence, the principle is ₹ 4000.



  1. What would be the simple interest accrued in 4 yr on a principle of ₹ 18440 at the rate 15% per annum ?











  1. View Hint View Answer Discuss in Forum

    Given, P = 18440, R = 15%, T = 4
    ∴ Simple interest (SI) = (P x R x T) / 100

    Correct Option: E

    Given, P = 18440, R = 15%, T = 4
    ∴ Simple interest (SI) = (P x R x T) / 100
    = (4 x 18440 x 15) / 100
    = ₹ 11064