Question

A sum of Rs. 12500 gives interest of Rs. 5625 in T years at simple interest. If the rate of interest is 7.5%, then what will be the value of T?

• A. 5 years
• B. 6 years
• C. 7 years
• D. 8 years

Answer 1

Answer:

B. 6 years

Solution:

GIVEN:

Principal = Rs. 12500

Time = T years

Rate of Interest = 7.5%

(S.I) = Rs. 5625

FORMULA USED:

Simple interest = $\frac{(P\times{R}\times{T})}{100}$

CALCULATION:

Simple interest = $\frac{(P\times{R}\times{T})}{100}$

$⇒ 5625 = \frac{(12500\times{7.5}\times{T})}{100}$

⇒ T = 6 years