Question
The simple interest received on a certain sum is Rs. 500
less than the sum invested. If the sum was invested at 12% p.a. for 8 years, then find the simple interest received.Solution
Let the sum invested be Rs. x Therefore, simple interest received = Rs. (x – 500) According to the question, {(x × 12 × 8)/100} = x – 500 => 0.96x = x – 500 => 0.04x = 500 => x = 500/0.04 = 12500 Therefore, simple interest received = x – 50= 12500– 500 = Rs. 12000
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