Question

Kruti took a loan at simple interest at $6\%$ in the first year with an increase of $0.5\%$ in each subsequent year. She paid Rs. $3375$ as interest after $4$ year. How much loan did she take?

• A. Rs. $12500$
• B. Rs. $15800$
• C. Rs. $33250$
• D. Rs. $30,000$

Answer 1

The correct option is A Rs. $12500$

Let the loan taken be Rs. $x$.

Then, $\frac{x\times 6\times 1}{100}+\frac{x\times 6.5\times 1}{100}+\frac{x\times 7\times 1}{100}+\frac{x\times 7.5\times 1}{100}=3375$
$\Rightarrow \frac{27x}{100}=3375$

$\Rightarrow x=\frac{3375\times 100}{27}$

$=$ Rs. $12500$