Practicing Success

Target Exam

CUET

Subject

General Test

Chapter

Numerical Ability

Topic

Simple Interest

Question:

If Seema invests ₹17,650 in an account that yields 8.5% p.a. simple interest, then how much (to nearest ₹) will she have after 5 years ?

Options:

25,151

21,155

21,551

25,115

Correct Answer:

25,151

Explanation:

Principal (P) = Rs 17650

Time(T) = 5 years

Rate(R) = 8.5% per annum

Total int. for 5 yrs. = 8.5 × 5 = 42.5%

Amount after 5 years = P × 142.5%

                               = 17650 × 42.5% = 25151.25 = Rs 25151 (nearest)