Question

Vasanth starts a Dairy (milk) business by obtaining a loan of Rs 25,000 from a bank at the rate of 15% per annum. Calculate the amount to be paid to the bank after 4 years.

Answer 1

Solution :

Principal ( P ) = Rs 25000 ,

Rate of interest ( R ) = 15% per annum,

Time ( T ) = 4 year's

Let the simple interest = I

We know that ,

I = ( PTR )/100

=> I = ( 25000 × 4 ×15 )/100

= ( 250 × 4 × 15 )

= 1000 × 15

I = Rs 15000

Now ,

Amount to be paid after 4 years

( A ) = P + I

= Rs 25000 + Rs 15000

= Rs 40000

••••••

Answer 2

Answer:40000

P=25000

R=15%

T=4 YEARS

simple interest =I

I=[PTR]/100

=25000*4*5X100

=250*4*5

=1000*15

=15000

amount to be paid after 4 years

A=P+1

=25000+15000

A=40000