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    4. Simple and compound interest
    5. A borrowed Rs. 9500 from B for his business. How much amount A will return to B at the end of 24 mon

    Question

    A borrowed Rs. 9500 from B for his business. How much

    amount A will return to B at the end of 24 months such that the sum was borrowed at simple interest of 20% p.a.?
    A Rs. 13000 Correct Answer Incorrect Answer
    B Rs. 13500 Correct Answer Incorrect Answer
    C Rs. 13300 Correct Answer Incorrect Answer
    D Rs. 13800 Correct Answer Incorrect Answer

    Solution

    Amount to be returned by A = {(9500 × 0.20 × 24)/12} + 9500 = 3800 + 9500 = Rs. 13300

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