Find the simple interest (in ₹) on ₹2500 as a sum borrowed at 5% per year rate of interest for 4 years.
Show answer & explanation
Correct answer: C
Explanation
The correst answer is option 3 i.e. 500.
SI = PRT/100
where P is principal, R is rate of interest and T is itme period.
According to given question, SI = 2500 × 4 × 5/100
⇒ 2500/5 = 500