A man invests ₹5,000 in a savings account that pays a simple interest rate of 6% per annum. What will be the total amount in his account after 3 years?
Show answer & explanation
Correct answer: D
Explanation
Given:
Principal = ₹5,000
Interest rate = 6%
Time = 3 years
Formula:
SI = (P × R × T) / 100
A = P + SI
SI = (5,000 × 6 × 3) / 100 = 900
A = 5,000 + 900 = ₹5,900