Question

Simple Interest. Please answer this question I'm unable to answer


A person Borrows ₹5000 for 2 years at 4% p.a simple Interest. he leads it to another person at
$6 \times \frac{1}{4} \%$
p.a for 2 years. find his gain in the transaction per year ​

Answer 1

Answer:

RS. 112.50 Is The Correct Answer

Step-by-step explanation:

First case:

P= Rs. 5000,R=4%,T=2 years

Interest paid by him = Rs

100

5000×4×2

= Rs 400

Second case:

P= Rs 5000,R=

4

25

%,T=2 years

Interest he received = Rs

100

5000×6

4

1

×2

= Rs

100×4

5000×25×2

= Rs 625

∴ his gain for two years = Rs 625− Rs 400= Rs 225

His gain per year = Rs

2

225

= Rs 112.50