Question

a finance company charges $55 simple interest a sum of money which is borrowed for five months. Given that the rate of interest is 12% per annum find the​ sum of money​

Answer 1

Answer:1100

Explanation:

The Simple Interest = I = Rs 55

The time period = t = 5 months

The rate of interest applied = r = 12% per annum

To Find :

The sum of money

Solution :

Let The Sum of money borrowed = Rs P

From

Simple interest method

Simple Interest =  

Or,   I =  

Or , Rs 55 =  

Or, 55 =  

Or,  5 P = 5500

∴        P =  

i.e Principal = P = Rs 1100

Hence, The sum of money borrowed is Rs 1100     Answer