Question

Mr Khurana deposited ₹1500 in a bank which pays him 8% interest. After 3 years, he withdraws the money and purchases a mobile for ₹ 1350. How much money is left with him?

Answer 1

Principal ⇒ ₹1500

Rate ⇒ 8%

Time ⇒ 3 years

$\sf Simple \ Interest = \frac{Principal \times Rate \times Time}{100}$

$\sf \rightarrow \frac{1500\times 8\times 3 }{100}$

$\sf \rightarrow \frac{36000}{100}$

$\sf \rightarrow Rs. 360$

Amount ⇒ Simple Interest + Principal

Amount ⇒ 360 + 1500

Amount ⇒  ₹1860

Amount Mr Khurana has ⇒ ₹1860

Amount paid to purchase a mobile ⇒ ₹1350

Amount left with Mr Khurana ⇒ 1860 - 1350 = ₹510

∴ ₹510 is left with Mr Khurana.

Additional Information :)

The method used to calculate the interest amount for the principal amount of money is known as Simple Interest.

The formula for Simple Interest is ⇒ $\sf S.I =\frac{P\times R \times T }{100}$

Over here ⇒

• S.I = Simple Interest
• P = Principal
• R = Rate
• T = Time

To calculate the amount we use this formula ⇒ $\sf A= P+I$

Over here ⇒

• A = Amount
• P = Principal
• I = Interest