Question

A sum of Rs.1600 gives a simple of Rs.
252 in 2 years and 4 months. The rate of interest per annum is

Answer 1

6% per annum ... ............

Answer 2

Answer:

6.75%

Step-by-step explanation:

2 years 4 months = 7/3 years

Find the interest for 1 year:

7/3 years = Rs 252

1 year = 252 ÷ 7/3 = Rs 108

Find the interest rate:

Interest rate = interest/principal x 100

Interest rate = 108/1600 x 100 = 6.75%

Answer: The interest rate is 6.75%