A person lent certain sum of money at the annual rate of 25 percent on simple interest. In 6 years the interest amounted to Rs.360 more than the sum lent. What is the sum lent?
Answer & explanation
Correct answer: option 3
Let Principal(P)= 100%
Rate(R)=25%
Time(T)= 6 years
Total Interest(I) = Rate × Time = 25×6=150%
ATQ
50% = 360 Rs
1% = \(\frac{360}{50}\)
100% = \(\frac{360}{50}\)×100 = Rs 720