Question

Find the simple interest on a sum of ₹15000 invested for 2 years at 5% interest rate.

• A. ₹1000
• B. ₹1500
• C. ₹2000
• D. ₹2500

Answer 1

The correct option is B ₹1500

It is given that:
₹15000 is invested for 2 years at the interest of 5% per annum.
$\therefore$ Principal amount, P = ₹15000
Rate of Interest = 5%
Time Period, T = 2 years
Simple Interest = $\frac{P\times R\times T}{100}$
On substituting the values we get:
Simple Interest = $\frac{15000\times 5\times 2}{100}$ = ₹1500