Question

At what rate percent per annum will rs 650 amount to rs 845 in 5 years at simple interest

Answer 1

Principal = Rs. 650

Amount = Rs. 741

Time = years and 6 months = 3.5 years

Using the given information we get

Interest= Amount-Principal=741-650=91Interest=Amount−Principal=741−650=91

Formula of simple interest:

$I=\dfrac{P\times r\times t}{100}$

where, P is principal, r is rate of interest, t is time in years.

$91=\dfrac{650\times r\times 3.5}{100}$

$91=\dfrac{2275r}{100}$

91=22.75r

Divide both sides by 22.75.

$\dfrac{91}{22.75}=r$

4=r