New Click here to Enroll for SIDBI MSME Expert Classes by Experts

    Register

    Question

    A man invested certain sum at simple interest of r% p.a.

    such that it amounts to 124% of itself in 10 years. Find the interest earned when Rs. 10000 is invested at simple interest of r% p.a. for 3 years.
    A Rs. 700 Correct Answer Incorrect Answer
    B Rs. 730 Correct Answer Incorrect Answer
    C Rs. 720 Correct Answer Incorrect Answer
    D Rs. 710 Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    Let the sum invested be Rs. ‘P’ Therefore, interest earned in 10 years = 1.24P – P = Rs. 0.24P ATQ; 0.24P = (P × r × 10) ÷ 100 Or, r = 24 ÷ 10 Or, r = 2.4 So, required interest earned = (10000 × 2.4 × 3) ÷ 100 = Rs. 720

    Practice Next