Question

Question 127

What sum of money lent out at 16 % per annum simple interest, so that it would produce ₹ 9600 as interest in 2 yr ?

Answer 1

Here, I = ₹ 9600, T = 2 yr and R = 16 %
$\because I=\frac{P\times R\times T}{100}\therefore P=\frac{1\times 100}{R\times T}=\frac{9600\times 100}{16\times 2}$
P = ₹ 30000
Hence, the sum of money lent is ₹ 30000.