A borrowed a loan from B at 5% p.a. simple interest for 3 years and repaid the loan amount Rs.26450 with interest. The amount of loan taken by A (in Rs.) is:
Answer & explanation
Correct answer: option 3
Total interest for 3 years = 5% x 3 = 15%
Therefore,
Amount = 115% of principal
⇒ Principal = \(\frac{26450 × 100}{115}\)
= ₨.23000