The simple interest on a principal amount (in ₹) is ₹524 for a period of 2 years at the rate of 5% per annum. The principal amount (in ₹) is:
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Correct answer: A
Explanation
The correct answer is Option 1 i.e. 5240.
SI = 524, T = 2 years, R = 5%
SI = (P × R × T) / 100
524 = (P × 5 × 2) / 100
524 = (10P) / 100
P = (524 × 100) / 10 = 5240