Question

on principal Rs.1200 earn simple interest 192 in 2 years at rate of interest is?​

Answer 1

the present value of an immediate annuity of rs 10000 at 8 %p.a to be paid for 4 years

Answer 2

Given,

A principal of Rs. 1200 earns simple interest Rs. 192 in 2 years.

To Find,

The rate of interest =?

Solution,

We can solve the question as follows:

It is given that a principal of Rs. 1200 earns simple interest Rs. 192 in 2 years. We have to find the rate of interest.

$Principal\: amount = Rs.\: 1200$

$Simple\: interest = Rs.\: 192$

$Time = 2\: years$

$Rate =?$

The formula for finding the simple interest is given as:

$Simple\: interest = \frac{Principal*Rate*Time}{100}$

Substituing the values in the above formula,

$192 = \frac{1200*R*2}{100}$

$192 = 12*R*2$

$192 = 24*R$

$R = \frac{192}{24}$

$R = 8$%

Hence, the rate of interest is 8%.