Question

Simple interest on Rs.2000 for 4 years is Rs.400. Percent rate of interest is

• A. $\frac{2000\times 100}{400\times 4}$
• B. $\frac{400\times 4}{2000\times 100}$
• C. $\frac{400\times 100}{2000\times 4}$
• D. None of these

Answer 1

The correct option is C $\frac{400\times 100}{2000\times 4}$

Principal = Rs 2000
Time = 4 years
Interest = Rs 400

Let Rate of Interest= $R$
Now, $Interest=\frac{Principal\times Rate\times Time}{100}$
$400=\frac{2000\times R\times 4}{100}$
$R=\frac{400\times 100}{2000\times 4}$