The simple interest on a certain sum at the rate of 12.5% per annum for 6 years is ₹13,500 less than the principal. Find the simple interest.
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. ₹40,500.
Let the principal be P.
According to the given question,
Simple Interest = P - 13500
Now, SI = PRT/100
⇒ P - 13500 = P × 12.5 × 6/100
⇒ 4(P - 13500) = 3P
⇒ 4P - 54000 = 3P
⇒ P = 54000
Now, SI = 54000 - 13500 = 40500