If the annual rate of simple interest increases from 11% to $17 \frac{1}{2}\%$ a person’s yearly income increases by ₹1,071.20. The principal amount invested (in ₹) is:

16,480

Let Principal (P) = 100%

Simple Interest increase from 11% to 17.5%

ATQ,

17.5% - 11% = 1071.20

6.5% = 1071.20

1% = \(\frac{1071.20}{6.5}\)

      = 164.8

100% = 164.8×100

         = Rs 16480