A man took loan from a bank at the rate of 12% p.a. simple interest. After 3 years he had to pay Rs. 5400 interest only for the period. The principal amount borrowed by him was:

A. Rs. 2000

B. Rs. 10,000

C. Rs. 15,000

D. Rs. 20,000

Answer: Option C

Solution(By Examveda Team)

$$\eqalign{ & {\text{Principal}} = Rs.\,\left( {\frac{{100 \times 5400}}{{12 \times 3}}} \right) \cr & \,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\, = Rs.\,15000 \cr} $$