Question

Suresh borrowed Rs 5500 from Lalit and paid Rs 7480 at the end of 3 years.What was the applicable rate of interest? *​

Answer 1

Answer:

12% per annum

Step-by-step explanation:

Principal = Rs.5500

Amount = Rs.7480

Hence, simple interest = Rs.(7480 - 5500) = Rs.1980

Time = 3 years

Let the rate of interest be R.

S.I = P * R * T / 100

1980 = 5500 * R * 3 / 100

R = 12

Therefore, rate of interest = 12% per annum