Question

In how much time $Rs.6,880$ will amount to $Rs.7,224$ when the simple interest is calculated at $20\%$ per annum?

• A. 4 months
• B. 6 months
• C. 3 months
• D. 8 months

Answer 1

The correct option is C 3 months

Amount $=Rs.7,224$
Principal $=Rs.6,880$
Rate of interest $=20\%$ p.a.

Let the time taken be T.

Simple interest $=$ Amount $-$ Principal
$\Rightarrow$ Simple interest $=Rs.7,224-Rs.6,880$
$\therefore$ Simple interest $=₹344$

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

$\Rightarrow 344=\frac{6,880\times 20\times T}{100}$

$\Rightarrow 344\times 100=6,880\times 20\times T$

$\Rightarrow T=\frac{344\times 100}{6,880\times 20}$

$\Rightarrow T=\frac{1}{4}$ years

and, $\frac{1}{4}$ years $=\frac{1}{4}\times 12=3$ months