Question

A sum becomes rs. 872 in 2 years 3 months at the rate of simple interest of 4 p.c.p.a. the principal is

Answer 1

Let the principal be Rs. x

SI = (p * r * t)/100

Simple interest = ( x * 4 * 27/12) / 100
= 9x/100

As per question,

Amount = x + 9x/100 = 109x/100

109x/100 = 872

x = 872 * 100/109 = Rs. 800.

Principal amount of Rs. 800 is lent.