Question

Question 58

For fixed time period and rate of interest, the simple interest is directly proportional to the principal.

Answer 1

True fixed time period (T) and rate of interest (R), the simple interest is directly proportional to the principal.
We know that, $SI=\frac{P\times R\times T}{100}$
$\Rightarrow \frac{SI}{P}=\frac{R\times T}{100}$=constant(as R and T are constants)
$\therefore$ Simple interest is directly proportional to the principal.