Question

Mukund invests a sum of ₹5400 and Sachin invests a sum of ₹9400 at the same rate of simple interest per annum. If, at the end of 5 years, Sachin gets ₹960 more interest than Mukund, then find the rate of interest per annum (in percentage).

• A. 3.8
• B. 6.8
• C. 2.8
• D. 4.8

Answer 1

Answer:

D. 4.8

Simple Interest (SI) formula:
$SI = \frac{P \times R \times T}{100}$
Difference in interest = ₹960

$\frac{(9400 - 5400) \times R \times 5}{100} = 960$
$\frac{4000 \times R \times 5}{100} = 960$

$\frac{20000R}{100} = 960$

200R = 960
$R = \frac{960}{200} = 4.8$

Rate of interest = 4.8% per annum ✅