Question

A man deposited ₹1200 in a recurring deposit account for 1 year at 5% per annum simple interest. The interest earned by him on maturity is
(a) 14790 (b) 390 (c) 4680 (d) 780

Answer 1

Answer:

Interest  on Maturity is : 390 (c)

Step-by-step explanation:

Interest =  $P * \frac{ n(n+1)}{12 *2}*\frac{R}{100}$

Interest = $1200*\frac{12*13}{2*12} *\frac{5}{100}$

Interest = $6*13*5$

Interest = $30*13 = 390$

Answer 2

Given:

Amount deposited = Rs. 1200

Time = 1 year

Rate = 5%

To Find:

Interest earned on maturity

Solution:

Calculating the the total principal for month

= [P × n ( n + 1)]/2

= ( 1200 × 13 × 12)/2

= 600 × 13 × 12

= 93600

Calculating interest

= PRT/100

= 93600 × 5 × 1 / 100

= 936 × 5 / 12

= 390

Answer: The interest earned on maturity is Rs.390