Question

How much time will it take for an amount of ₹450 to yield an interest of ₹81 at 4.5% per annum simple interest?

• A. 2 years
• B. 4 years
• C. 3 years
• D. 6 years

Answer 1

The correct option is B 4 years

Let the time taken be 't' years.

Simple Interest, S.I = $\frac{P\times R\times T}{100}$

$81=\frac{450\times 4.5\times T}{100}$

$\Rightarrow T=\frac{100\times 81}{450\times 4.5}=\frac{10\times 81\times 10}{45\times 45}=4years$

Thus, it will take 4 years for an amount of ₹450 to yield an interest of ₹81 at 4.5% per annum.