Question

Calculate the time in which rupees 5000 would become rupees 5500 at an interest rate of 8% per annum

Answer 1

Time (T) =$\dfrac{5}{4}$years.

Explanation:

Given,

Principle(P) = Rs. 5000, Amount(A) = Rs. 5500 and Rate(R) = 8 %

To find, Time(T) = ?

Amount(A) = Principle(P) + Simple interest(SI)

∴ Simple interest(SI) = Rs. 5500 - Rs. 5000 = Rs. 500

We know that,

Simple interest(SI) = $\dfrac{P\times R\times T}{100}$

⇒ Time (T) = $\dfrac{500\times 100}{5000\times 8}$

⇒ Time (T) = $\dfrac{5}{4}$ years

Hence, time (T) =$\dfrac{5}{4}$ years.

Answer 2

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