Ramu borrowed some money from his friend at simple interest of 6% per annum. He returned his friend Rs. 15600. After how much time did Ramu return the money if he borrowed Rs. 12000?
Answer & explanation
Correct answer: option 3
According to the question:
Simple interest - 15600 - 12000 = 3600, ROI - 6%, Principle - 12000
Formulae for SI = \(\frac{\text{P Χ R Χ T} }{ 100}\)
Putting the values in the formulae:
3600 = \(\frac{\text{12000 Χ 6% Χ T} }{ 100}\)
3600 = 720T
T = \(\frac{ 3600}{720 }\)
T = 5
Thus, after 5 years Ramu returned the money which he borrowed.