Question

Rina borrow rs 12600 from a moneylendar at 15 Percent p.a S.I After 3 yrs he paid Rs 7700 and gave a goatto clear debt. What is the cost of the goat ?​

Answer 1

Answer:

According to the question,

Principal (P) = Rs.12600

Rate (R) = 15%

Time (T) = 3 years

After 3 years, he will pay back money with interest hence, we have to calculate the simple interest first

Simple Interest (I) = P×T×R100P×T×R100

I=12600×15×3100I=12600×15×3100

I=126×15×3I=126×15×3

I=5670I=5670

Therefore, the interest paid on the principal amount is Rs.5670

Amount to be paid after 3 years = P+I

P+I

Amount = 12600 + 5670Amount = 12600 + 5670

Amount = Rs.18270Amount = Rs.18270

Hari pays Rs.7070 and a goat to clear off the debt after 3 years.

So, Amount = 7070 + Cost of goat

Let the cost of goat be x,

18270=7070+x18270=7070+x

x=18270−7070x=18270−7070

x=11,200x=11,200

Therefore, the cost of the goat is Rs.11,200.

Note: When you borrow money, there is an extra amount to be paid along with the amount you borrowed. That extra money that you pay is known as interest. Simple interest is paid only on the principal amount