Question

Ramrao borrowed Rs 45000
for 1 year at the rate of 8
p.c.p.a. How much interest
will it have to pay?​

Answer 1

Before, finding the answer. Let's find out on how we can find the answer.

• To find the Simple Interest, we must use the formula of :

$\sf \dfrac{p \times r \times t}{100}$

• Where, we have to multiply Principal, Rate and Time.
• Then, we must divide it by 100.

______________

Given :

• Principal = Rs. 45000
• Rate = 8%
• Time = 1 year

To find :

• Simple Interest

Solution :

We know that,

$\sf Simple \: Interest = \dfrac{p \times r \times t}{100}$

$\sf = \sf \dfrac{45000 \times 8 \times 1}{100}$

$\sf = \sf \dfrac{360000 \times 1}{100}$

$\sf = \dfrac{360000}{100}$

$\sf = \dfrac{3600\not0\not0}{1\not0\not0}$

$\sf =3600$

Hence,  Simple Interest is Rs. 3600