ECONOMICS
COMPOUND INTEREST
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Mariam deposited $6000. Find the simple interest at 5.37% for 10 years.
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$26.10
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$8610
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$2610
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$3222
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Explanation:
Detailed explanation-1: -Simple interest is calculated with the following formula: S.I. = P × R × T, where P = Principal, R = Rate of Interest in % per annum, and T = Time, usually calculated as the number of years. The rate of interest is in percentage r% and is to be written as r/100.
Detailed explanation-2: -Hence the simple interest is ₹350.
Detailed explanation-3: -Hence, the simple interest on Rs 6000 for 1 year at 4% per annum is Rs 240.
Detailed explanation-4: -The time taken to get a simple interest of rs 1800 on Rs 6000 10% rate is 3 years.
There is 1 question to complete.