A sum becomes Rs. 10650 in 5 years and Rs. 11076 in 6 years at simple interest. What is the sum?
Show answer & explanation
Correct answer: C
Explanation
The correct answer is option 3 i.e. Rs. 8520
A sum becomes Rs. 10650 in 5 years and Rs. 11076 in 6 years at simple interest
SI for one year = Amount of 6 years - Amount of 5 years
⇒ SI = 11076 - 10650 = 526 Rs.
Amount = Principal + SI
Amount of 5th year = 10650(given)
SI of 5 years = 5 × 526 = 2630Rs.
Principal = Amount of 5th years - SI of 5 years
⇒ Principal = 10650 - 2630 = 8520 Rs.