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  1. ₹800 becomes ₹956 in 3 years at a certain rate of simple interest. If the rate of interest is increased by 4%, what amount will ₹800 become in 3 years ?
    1. ₹1020.80
    2. ₹1025
    3. ₹1052
    4. ₹1050
Correct Option: C

We know that ,
S.I. = Amount - Principle = 956 – 800 = Rs. 156

∴ Rate =
S.I. × 100
Principal × Time

R =
156 × 100
= 6.5% per annum
800 × 3

∴ New rate = 6.5 + 4 = 10.5%
∴ SI =
Principal × Time × Rate
100

SI =
800 × 3 × 10.5
= ₹ 252
100

∴ Amount = Principle + SI = 800 + 252 = ₹ 1052



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