₹50,000 is deposited in a bank account. There was already some money in the account. Now the bank gives ₹7,500 as simple interest in a year. The rate of simple interest is 4.5% per annum. How much money (in ₹) was already there in the account?

Let the initial money already present in the account be ₹x.
A new deposit of ₹50,000 is made.

Therefore, the total principal amount (P) earning interest in the bank is:

P=x+50000
Given data:

Simple Interest (SI) = ₹7,500

Rate of interest (R) = 4.5% per annum

Time (T) = 1 year

Using the Simple Interest formula:

SI=
100
P×R×T
​

7500=
100
(x+50000)×4.5×1
​

7500×100=4.5(x+50000)
750000=4.5(x+50000)
x+50000=
4.5
750000
​

x+50000=
45
7500000
​

x+50000=
3
500000
​

x+50000=166666.67
x=166666.67−50000
x=116666.67
Thus, the money already present in the account was ₹1,16,666.67.