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Q.

Andrea deposits Rs.5,000 in a bank. After a year, the bank pays her back Rs.5,225. What is the Principal?

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a

Rs.5,225

b

Rs.225

c

None of the above

d

Rs.5,000

answer is A.

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Detailed Solution

Principal is the initial amount that the person deposited or borrowed from the bank.

Hence, Rs.5,000 is the Principal.

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Andrea deposits Rs.5,000 in a bank. After a year, the bank pays her back Rs.5,225. What is the Principal?