If a certain sum of money borrowed at 5% per annum simple interest amounts to Rs 1020 in 4 years, then the sum of money borrowed is:

Rs 850

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Rs 925

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Rs 750

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Rs 875

No worries! We‘ve got your back. Try BYJU‘S free classes today!

None of these

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A Rs 850

We have, A =Rs 1020, T =4 years, R =5% p.a.
Let, the principal be Rs x.
Then, Interest (I) =A-P =1020 -x.
Therefore, by using formula.
$P = \frac{100 \times I}{R \times T}$
We have, $x = \frac{100 \times (1020 - x)}{5 \times 4}$
$\Rightarrow$ x =5100-5x or, 6x =5100
or, $x = \frac{5100}{6} = R s 850.$
$∴$ The sum of money borrowed =Rs 850.

Suggest Corrections

Similar questions

Q. What sum of money borrowed on

24^{t h}

May will amount to

R s .10, 210.20

17^{t h}

October of the same year at

5 %

per annum simple interest?

Q. Amit borrowed a certain sum of money for

2

years at

8 %

per annum on simple interest and immediately lent it to Ravi but at compound interest and gained

Rs. 16

. What amount did Amit borrow?

A man who borrowed a certain sum of money repaid it in parts, by paying Rs.4032 at the end of the first year and Rs.10075 at the end of the second year.
If the rate of simple interest is 12% per annum, what is the sum of money borrowed?

Q. The compound interest on a certain sum of money borrowed at the rate of 20% per annum for 2 years is ₹ 440. Find the original amount borrowed.

Q. Bhanu borrowed a certain sum of money at 12% per annum for 3 years and madhuri borrowed the same sum at 24% per annum for 10 years. Find the ratio of their amounts.

Join BYJU'S Learning Program

If a certain sum of money borrowed at 5% per annum simple interest amounts to Rs 1020 in 4 years, then the sum of money borrowed is:

The correct option is A Rs 850 We have, A =Rs 1020, T =4 years, R =5% p.a. Let, the principal be Rs x. Then, Interest (I) =A-P =1020 -x. Therefore, by using formula. P=100×IR×T We have, x=100×(1020−x)5×4 ⇒ x =5100-5x or, 6x =5100 or, x=51006=Rs850. ∴ The sum of money borrowed =Rs 850.