A sum of ₹2,400 gives a simple interest of ₹504 in 3 years. Find the rate of interest per annum.
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. 7%.
Simple Interest = (Principal × Rate × Time)/100
₹504 = (₹2,400 × Rate × 3)/100
Rate = (₹504 × 100)/(₹2,400 × 3) = 7%
Therefore, the rate of interest per annum is 7%.