Target Exam

CUET

Subject

General Aptitude Test

Chapter

Numerical Ability

Topic

Compound & Simple Interest

Question:

The simple interest on Rs 10 for 4 months @3 paisa per rupee per month is

Options:

1.60 rupee

1.40 rupee

1.20 rupee

2.40 rupee

Correct Answer:

1.20 rupee

Explanation:

Given:

  • Principal $P =$ ₹10
  • Rate = 3 paisa per rupee per month = 3% per month
  • Time = 4 months

Simple Interest:

$SI = \frac{P \times R \times T}{100}$

$= \frac{10 \times 3 \times 4}{100} = \frac{120}{100} = \text{₹}1.20$