Question

What rate gives $Rs.280$ as interest on a sum of $Rs.56,000$ in $2$ years

Answer 1

We have,

$P=Rs.56000,$

$T=2years,$

$SI=Rs.280$

We know that,

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

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

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

$R=0.25\%$

Hence, the value of the rate is $0.25\%$.