Question

Rohit borrowed ₹45,000 at simple interest and rate is 8.5% per annum. How much money will he pay at the end of 4 years to clear his debt?

• A. ₹65,300
• B. ₹60,300
• C. ₹70,300
• D. ₹75,300

Answer 1

The correct option is B

₹60,300

Given: P = ₹45,000
R = 8.5%/annum and T = 4 years

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

= $\frac{45,000\times 4\times 8.5}{100}$

= ₹15,300

Hence amount to be paid at the end of 4 years = P + I

= 45,000 + 15,300

= ₹60,300