A sum of ₹1,250 is lent on simple interest at a rate of 5 1/2 % per annum for three years. Find the interest (in ₹).

SSC Selection Post 2024 PYQ — Question 56

A sum of ₹1,250 is lent on simple interest at a rate of 5 $\frac{1}{2}$ % per annum for three years. Find the interest (in ₹).

Show answer & explanation

Correct answer: C

Explanation

The correct answer is option 3 i.e. 206.25.

SI = PRT/100

⇒ 1250 × 11/2 × 3/100 = 206.25