A certain sum lent out at simple Interest and the true discount on a certain sum for 1 year at 5% is Rs.1 find the sum.
Answers
Answer:
Step-by-step explanation:p = ?
r = 5% per anum
t = 1 yrs
t = 100 multiply by I / r multiply by t
= 100 multiply by 5 / 5 multiply by 1
= 500 / 5
= 100
Concept:
The interest on a loan or principal amount can be easily calculated using simple interest. Simple interest is a notion that is employed across a wide range of industries, including banking, finance, automobiles, and more. When you pay back a loan, the monthly interest is deducted first, and any remaining funds are applied to the principle.
SI= (PxRxT)/100
where, P = principal
R= rate of interest
T= time
SI= simple interest
Given:
A certain sum lent out at simple Interest and the true discount on a certain sum for 1 year at 5% is Rs.1
Find:
Find principal
Solution:
r = 5% per anum
t = 1 yrs
t =( 100 x I )/ (r x P)
P= 100 x 5 / 5 x 1
= 500 / 5
= Rs 100
Therefore, the principal sum is Rs 100
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