Practicing Success
What sum of money will amount to Rs. 520 in 5 years and to Rs 568 in 7 years on simple interest? |
Rs. 400 Rs. 120 Rs. 510 Rs. 220 |
Rs. 400 |
We know that, Principal = Amount – simple interest We have, Amount in 5 years = Rs. 520 Amount in 7 years = Rs. 568 Simple interest for 2 years = 568 – 520 = Rs. 48 Simple interest for 5 years = (48/2) × 5 = Rs. 120 Principal = 520 – 120 = Rs. 400 |