Question

14. Atul borrowed ₹4225 from Amar. At the end of 4 years Atul had to pay back

₹6253. What was the rate of simple interest?​

Answer 1

Answer:

the interest is 5% is correct answer

Answer 2

Answer:

12%

Explanation:

Formula used for Simple Interest

A = P(1 + rt)

Where

A is final amount i.e. 6253

P is initial amount i.e. 4225

r is rate of interest

t is time duration i.e. 4

So,

6253 = 4225(1 + r*4)

6253 = 4225 + 4*4225r

r = (6253-4225)/4*4225

r = 2028/16900

r = 0.12

Hence rate of simple interest is 12%