Question

A sum of Rs. 9800 gives simple interest of Rs. 4704 in 6 years. What will be the rate of interest per annum?

• A. 9 %
• B. 8.55%
• C. 8%
• D. 7.5%

Answer 1

Answer:

C. 8%

Solution: Given: Principal = Rs. 9800 Simple interest = Rs. 4704 Time = 6 years Formula used: Simple interest (SI) = Principal (P) × Rate (r) × Time (T)/100 SI = P.R.T/100 Where, T is in years Calculation: 4704 = 9800 × R × 6/100 ⇒ R = 4704/588 ∴ R = 8%