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If a certain sum of money at 5% per annum simple interest amounts to ₹810 in 2
2
1

years, then the certain sum is:

  1. A
    ₹740
  2. B
    ₹750
  3. C
    ₹720
  4. D
    ₹730

Solution & Step-by-step Explanation

Given:
Amount (A) = ₹810

Rate (R) = 5% per annum

Time (T) = 2
2
1

=2.5 years

The relation between Amount (A) and Principal (P) under simple interest is:

A=P+SI=P+
100
P×R×T

=P(1+
100
R×T

)
Substituting the values:

810=P(1+
100
5×2.5

)
810=P(1+
100
12.5

)
810=P(1+0.125)
810=1.125P
P=
1.125
810

=
1125
810000

=720
Therefore, the principal sum is ₹720.

Practice this question

Try it yourself before checking the explanation above.

If a certain sum of money at 5% per annum simple interest amounts to ₹810 in 2
2
1

years, then the certain sum is:
A
₹740
B
₹750
C
₹720
D
₹730

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