Question

If Rs 750 amonts to Rs 885 in three years at simple interest,find the rate of interst

Answer 1

Given P = 750 and A = 885, t = 3 years

We know that I = A - P

                          = 885 - 750

                          = 135.


We know that SI = P * T * R/100

                      135 = 750 * 3 * R/100

                      13500 = 750 * 3 * R

                      13500 = 2250R

                       R = 6%.


Rate of interest = 6% per annum.