Question 47

The simple interest on a certain sum at the rate of $$8.5\%$$ for 3 years is Rs. 7,140. Find the simple interest on the same sum at the rate of $$7.5\%$$ for 2 years.

Solution

The principal is $$P = \frac{7140 \times 100}{8.5 \times 3} = 28000$$ rupees. The new simple interest is $$\frac{28000 \times 7.5 \times 2}{100} = 4200$$ rupees.

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