Question
The simple interest received on a certain sum is Rs.
1200 less than the sum invested. If the sum was invested at 20% p.a. for 4 years, then find the simple interest received.Solution
Let the sum invested be Rs. x Therefore, simple interest received = Rs. (x – 1200) According to the question, {(x × 20 × 4)/100} = x – 1200 => 0.8x = x – 1200 => 0.2x = 1200 => x = 1200/0.5 = 6000 Therefore, simple interest received = x – 1200 = 6000– 1200 = Rs. 4800
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