Question

What rate gives ₹280 as interest on a sum of ₹ 56,000 in 2 years?

Answer 1

Given,

Principal = ₹56,000

Time = 2 years

Interest = ₹ 280

The rate of interest =?

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

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

$\Rightarrow R=\frac{280\times 100}{56000\times 2}$

$\Rightarrow R=\frac{280}{560\times 2}$

$\Rightarrow R=\frac{1}{4}=0.25$

$\therefore$ The rate of interest is $0.25\%$.