📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

    Question

    If Rs. 8,000 grows to Rs. 10,960 in 2 years at simple

    interest, what is the yearly interest rate?
    A 18.5 Correct Answer Incorrect Answer
    B 11.22 Correct Answer Incorrect Answer
    C 7.67 Correct Answer Incorrect Answer
    D 20.11 Correct Answer Incorrect Answer

    Solution

    ATQ,

    Interest earned = 10,960 - 8,000 = Rs. 2,960

    Simple interest = Principal × rate × time ÷ 100

    So, 2,960 = 8,000 × rate × 2 ÷ 100

    Or, 2,960 = 160 × rate

    Or, rate = 18.5

    Practice Next
    More Simple and compound interest Questions
    ask-question