What is the rate of interest per annum for simple interest at which Rs. 880 amounts to Rs. 913 in $1 \frac{1}{2}$ years?
Answer & explanation
Correct answer: option 3
Principal (P)=880
Amount (A)=913
Time(T)=\(\frac{3}{2}\) Years
Interest (I) =A-P=33
I=\(\frac{P×R×T}{100}\)
33=\(\frac{880×R×3}{100×2}\)
R=2.5% OR 2\(\frac{1}{2}\)%