Question

Find the simple interest on rs. 1000 at 12 per annum for 5 years

Answer 1

It’s simple PTR/ 100
P-1000
R-12%
T-5 yrs
So, 1000*5*12/100
i.e., 600= S.I.

Answer 2

The simple interest for the given principal, rate, and time is ₹600.

Given,

Principal = ₹1000,

Rate of interest = 12% per annum,

Time = 5 year.

To find,

Simple interest.

Solution,

First of all, we know that the simple interest (SI), on a principal amount (P), is given by the following relation.

$SI=\frac{P \times r \times t}{100} \hfill ...(1)$

where,

r = rate of interest (%),

t = time (years) for which the principal is invested.

Here, as we can see that, it is given,

P = ₹1000,

r = 12% p. a.

t = 5 years.

Thus, the simple interest can be determined, using (1), as follows.

$SI=\frac{1000\times 12\times 5}{100}$

Simplifying,

$SI = 10 \times 60$

⇒ SI = ₹600.

Therefore, the simple interest for the given principal, rate, and time is ₹600.

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