Question

Rajan borrowed Rs. 50,000 from Rakesh at simple interest. After 3 years, Rakesh got Rs. 3000 more than what he had given to Rajan. What was the rate of interest per annum?

• A. 2%
• B. 5%
• C. 8%
• D. 10%

Answer 1

Answer: (A)

2%

$\Rightarrow$ Here, we have $P=Rs.50,000,T=3years$ and $S.I.=Rs.3000$

$\Rightarrow$ $SimpleInterest=\frac{P\times R\times T}{100}$

$\Rightarrow$ $3000=\frac{50000\times R\times 3}{100}$

$\Rightarrow$ $R=\frac{3000\times 100}{50000\times 3}$

$\therefore$ $R=2\%$