A sum of ₹1,250 is lent on simple interest at a rate of 5
2
1
% per annum for three years. Find the interest (in ₹).
- A210.25
- B215.75
- C206.25
- D200
Solution & Step-by-step Explanation
The formula for simple interest is:
SI=
100
P×R×T
Given parameters:
Principal (P) = ₹1,250
Rate of interest (R) = 5
2
1
%=
2
11
%=5.5% per annum
Time period (T) = 3years
Substitute the values:
SI=
100
1250×5.5×3
SI=
100
1250×16.5
=12.5×16.5=206.25
The simple interest earned is ₹206.25.
SI=
100
P×R×T
Given parameters:
Principal (P) = ₹1,250
Rate of interest (R) = 5
2
1
%=
2
11
%=5.5% per annum
Time period (T) = 3years
Substitute the values:
SI=
100
1250×5.5×3
SI=
100
1250×16.5
=12.5×16.5=206.25
The simple interest earned is ₹206.25.