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Q.

A certain sum of money amounts to Rs.6300 in 2 years Rs.7875 in 3 years and 9 months at simple interest. Find the rate of interest per annum.


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a

30%

b

50%

c

20%

d

40% 

answer is C.

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Detailed Solution

Let the principle = Rs.P and Rate of interest = R%.
 Amount (A)=P1+TR100
From the question we have,
Rs.6300=P1+2R100..(1)
Rs.7875=P1+15R400 (2)

T=3912=154 years

Now dividing (1) by (2) we get,
63007375=P1+2×R100P1+15×R400 
45=(100+2R)400(400+15R)100
45=(100+2R)4(400+15R)
400+15R=500+10R
 15R-10R=500-100
  5R=400  
R=20%
 
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