Question

A farmer borrowed rs 15000 from a money lender at 13 percentage per annum simple interest. At the end of 3 years he settled the account after paying RS 8000 cash and a motorcycle . Find the value of the motorcycle?

Answer 1

Interest = PNR / 100

Interest = 15000*3*13/100 = 5850

Total amount to be settled = 15000+5850 = 20850

Let the value of motorcycle be x.

So, x + 8000 = 20850

x= 20850 - 8000 = 12850

So the value of motorcycle is 12850.