Question

The sum required to earn a monthly interest of rs.1200 at 18%per annum si is

Answer 1

Rs. 80,000 as shown in sheet.

Answer 2

The required sum is 80,000

Solution:

Here interest = 1200

Rate is $18\%$ per annum = $\frac{0.18}{12}$ per month = 0.015 per month

Let us assume the sum is = P

Rate r = 0.015

Time t = 1 month

Interest I = 1200

We know, I = PRT

Putting the values we get,

$1200 = P\times0.015\times1$

$0.015P =1200$

$P = \frac{1200}{0.015} = 80000$