Arrange the simple interest of the following cases in decreasing order-
(A) The simple interest on Rs 6600 at 5% per annum for 2 yrs.
(B) The simple interest on Rs 200 at 6% per annum for 5 yrs.
(C) The simple interest on Rs 840 at 5% per annum for 4 yrs.
(D) The simple interest on Rs 5000 at 12% per annum for 2 yrs.
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → (D), (A), (C), (B)
Simple interest is \(\mathrm{SI}=\frac{P\times R\times T}{100}\), where \(P\) is the principal, \(R\) the rate per cent per annum and \(T\) the time in years. Each case is worked out and the four values are then placed from largest to smallest.
(A) Rs 6600 at 5% for 2 years — \(\displaystyle \frac{6600\times5\times2}{100}=\) Rs 660
(B) Rs 200 at 6% for 5 years — \(\displaystyle \frac{200\times6\times5}{100}=\) Rs 60, the smallest
(C) Rs 840 at 5% for 4 years — \(\displaystyle \frac{840\times5\times4}{100}=\) Rs 168
(D) Rs 5000 at 12% for 2 years — \(\displaystyle \frac{5000\times12\times2}{100}=\) Rs 1200, the largest
From largest to smallest: Rs 1200 (D), Rs 660 (A), Rs 168 (C), Rs 60 (B).