Question

If Manohar pays an interest of Rs.630 for 2 years on a sum of Rs.4500, find the rate of

interest.​

Answer 1

Answer for the following question is given ....

Answer 2

Given:

The interest paid by Mohan = Rs. 630

Time period = 2 years

Sum of money (Principal amount) = Rs. 4500

To find:

The rate of interest.

Solution:

We know that interest is given by I = P*R*T / 100

Where P = Principal amount

R = Rate of interest

T = Time period

Putting all the values in the equation we get:

630= 4500*R*2 / 100

R = 630*100 / 4500*2

On simplifying we get:

R = 7%

Therefore the rate of interest is 7%.