Question

The sum of money that will produce Rs 1770 interest in $7\frac{1}{2}$ years at 8% simple interest per annum is:

• A. Rs 2950
• B. Rs 3120
• C. Rs 2800
• D. Rs 4273
• E. None of the above

Answer 1

The correct option is A Rs 2950

Here, I =Rs 1770, R =8% per annum, $T=\frac{15}{2}years.$
$\therefore$ Principal (P)$=\frac{100\times I}{R\times T}=\frac{100\times 1770}{8\times \frac{15}{2}}$
=Rs 2950