Question

If Meena pays an interest of ₹ 45 for one year at $9\%$ rate p.a, what is the sum she has borrowed?

• A. ₹ 550
• B. ₹ 500
• C. ₹ 450
• D. ₹ 400

Answer 1

The correct option is B ₹ 500

Given,
Meena pays an interest of ₹ 45 for one year at rate of interest is $9\%$ p.a.
So, Interest = ₹ 45
Time = 1 year
Rate of interest = $9\%$
Principal =?
We know that, $S.I=\frac{P\times R\times T}{100}$

$\Rightarrow 45=\frac{P\times 9\times 1}{100}$

$\Rightarrow P=\frac{45\times 100}{9}$

$\therefore P=₹500$

$\therefore$ The sum she borrowed is ₹ 500.