A sum of Rs. 10000 is lent on simple interest at the rate of 15% per annum. What is the difference between Simple interest for 6 years and the simple interest for 2 years?
Show answer & explanation
Correct answer: C
Explanation
The correct answer is option 3 i.e. Rs. 6000.
| Understanding/Application |
|
Principal = Rs.10000 Rate of interest = 15% Simple Interest for 1 year = 15% of Rs.10000 = (10000 × 15)/100 = Rs.1500 Then, Simple Interest for 2 years = 2(1500) = Rs.3000 Simple Interest for 6 years = 6(1500) = Rs.9000 |
| Required difference = 9000 - 3000 = Rs. 6000 |