Practicing Success
A sum amounts to Rs. 25000 at 5% p.a. simple interest in 5 years. What will be the simple interest on the same sum at double rate and same number of years? |
10000 20000 30000 40000 |
10000 |
Total rate for 5 year = 5 × 5 = 25% ⇒ P × 125% = 25000 (given) ⇒ P = \(\frac{25000}{125}\) = 20000 Now, SI at 10% p.a. for 5 year, SI = \(\frac{20000 × 10 × 5 }{100}\) = 10,000 |