Question

A farmer takes Rs 10000 loan from a bank and pays back 28000 to the after 10 year. How much interest did the farmer have to pay to the bank ?

Answer 1

$P=10,000$ $A=28000$

$SI=18000$

$SI=\frac{PRT}{100}$

$SI=\frac{10,000\times R\times 10}{100}$

$=18000=100\times R\times 10$

$=R=18\%$.