Question

3. What sum of money will produce rs.70 as simple interest in 4 years at 3 1/2 percent

Answer 1

Answer:

500

Step-by-step explanation:

Formula: SI = (p * r *t) / 100

Given,

SI = 70

r= 7/2

t = 4

p = (SI * 100) / (r * t)

  = (70 * 100 * 2) / (7 * 4)

  = 500

Answer 2

Given,

Simple interest = Rs. 70

Time(t) = 4 years

Rate of interest = 3 1/2 = 7/2%

To Find,

The sum of money(Principal) =?

Solution,

By the formula of simple interest we know,

S.I. = P * R * T / 100

Putting the values given in the question,

70 = (P * 7 / 2 * 4)/ 100

70 = (P * 14) / 100

P = 70 * 100 / 14

P = 5 * 100

P = Rs. 500

Hence, Rs. 500 will produce rs.70 as a simple interest in 4 years at 3 1/2 percent.