Question

A sum of Rs. $20,000$ yielded an interest of Rs.$1200$ in a year. How much interest will a sum of Rs.$35,000$ yield one year at the same rate of interest?

Answer 1

Let the rate of interest be $x$ %

And we know $S.I.=\frac{PRT}{100}$

Then according to the question,

$=\frac{20000\times x\times 1}{100}=1200$

$x=6$%

Now Rate of interest $=6$%,

Sum$=Rs.35000$

Time $=1$$year$

Therefore $S.I.=\frac{PRT}{100}$

$=\frac{35000\times 6\times 1}{100}=Rs.2100$