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Q.

What principal will amount to R s .15000 at Question Image per annum in 5 years?


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a

10,000

b

20,000

c

30,000

d

60,000 

answer is A.

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Detailed Solution

Concept- Using the principal, interest rate, and interest period, we can calculate the interest. The primary, however, remains unknown. Thus, interest may be expressed in terms of principal. Since the amount is the total of the principle and interest, we obtain the principal by substituting the amount.
When a principal P is stored for n years at an interest rate of r, the interest is calculated as follows:
Question ImageThe amount received after the period is the sum of the principal and the interest.
Question ImageQuestion ImageQuestion ImageQuestion ImageQuestion ImageFormula for Calculating Simple Interest Amount
Question ImageQuestion ImageQuestion ImageQuestion ImageQuestion ImageHence, the correct answer is  option 1.
 
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