Question

in how many years will rs 35000/- will amount to rs 87500/- at 10%p.a. simple interest?

Answer 1

I know till this much only

Answer 2

Given:

Amount (A) = Rs 87500

Principal (P) = Rs 35000

Rate of interest (R) = 10% p.a.

To Find:

Time (T) ( in years) in which the principal will grow into amount.

Solution:

Amount = Principal + Simple Interest

So, Simple Interest = Amount - Principal = Rs ( 87500 - 35000)

Therefore, Simple Interest = Rs 52500

Also we know that, Simple Interest (SI) = $\frac{(P*R*T)}{100}$

So, Time (T) = $\frac{SI*100}{P*R}$

Now, Time (T) = $\frac{52500*100}{35000*10}$ = 15 Years

Hence, the time needed to increase the principal to the amount at a 10% rate of interest will be 15 years.