Question

Principal = Rs 8000, period = 5 years, rate = 7% p.a. Find simple interest.

Answer 1

Principal (P) = Rs 8000
Time (N) = 5 years
Rate (R) = 7% p.a.
We have $\mathrm{I}=\frac{\mathrm{P}\times \mathrm{R}\times \mathrm{N}}{100}$
$$\begin{gathered} \Rightarrow \mathrm{I}=\frac{8000\times 7\times 5}{100} \\ \Rightarrow \mathrm{I}=80\times 7\times 5 \\ \Rightarrow \mathrm{I}=\mathrm{Rs}2800 \\ \mathrm{Therefore},\mathrm{simple}\mathrm{interest}=\mathrm{Rs}2800 \end{gathered}$$