A sum of Rs. 4650 is lent at simple interest. If the rate of interest is 7.5% per annum, then what will be the simple interest for 4 years?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. Rs. 1395
Principal = 4650
Time = 4 years
Rate of interest = 7.5%
Simple Interest = Principal × Time × Rate/100
Simple Interest = 4650 × 4 × 7.5/100
Simple Interest = 1395.