Question

Find the simple interest on Rs 20000 at 10 percent interest from 20 years

Answer 1

Given:

• Principal money, P = Rs 20000
• Rate of interest per annum, R = 10 $\%$
• Time for interest, t = 20 yrs

To find:

• Simple Interest, S.I. =?

Formula required:

• Formula for Simple interest

        SI = (P × R × t ) / 100

[ Where P is principal, R is rate of interest per annum, t is time taken and SI is simple interest ]

Calculation:

Using formula for Simple interest

→ SI = ( P × R × t ) / 100

→ SI = ( 20000 × 10 × 20 ) / 100

→ SI = 200 × 10 × 20

→ SI = 200 × 200

→ SI = 40000 Rs

Therefore,

• Simple interest on Rs 20000 at 10$\bf{\%}$ interest for 20 years would be 40000 Rs.

Answer 2

Given : -

• p = 20000
• R = 10 %
• T = 20 Years

To find : -

• Find the simple interest

Solution : -

☯ we have formula :

→ SI = ( P × R × t ) / 100

putting all values :

➻ SI = ( 20000 × 10 × 20 ) / 100

➻ SI = 20000 × 200 / 100

➻ SI = 20000 × 2

➻ SI = 40000

hence the simple interest is 40,000

more information : -

• Simple interest is a quick method of calculating the interest charge on a loan.

• Simple interest is determined by multiplying the daily interest rate by the principal by the number of days that elapse between payments.