A sum of money at simple interest amount to Rs 1260 in 2 yr and Rs 1350 in 5 yr, then the rate percent per annum is?
Correct Answer: 2.5%
Explanation:
Simple in 3 year = Rs( 1350 - 1260) = Rs 90
Simple in 2 year = (2/3) &time; 90= Rs 60
Principal = Rs (1260 -60)= Rs 1200
Rate, R= (100 x SI)/(P x T)= (100 x 60)/(1200 x 2)=60/24= 25 %
where , SI= Simple Interest
P= Principal
T= Time
