Simple interest on a certain sum one-fourth of the sum and the interest rate percentage per annum is 4 times the numbers of years. If the rate of interest increases by 2%, then what will be the simple interest (in Rs.) on Rs. 5,000 for 3 years?
A. 300
B. 1,500
C. 2,000
D. 1,800
Answer: Option D
Solution(By Examveda Team)
\[\frac{1}{4}\begin{array}{*{20}{c}} {\,\,\,\, \leftarrow {\text{S}}{\text{.I}}{\text{.}}} \\ { \leftarrow P} \end{array}\]$$\eqalign{ & {\text{Let }}P = 4x{\text{ and S}}{\text{.I}}{\text{.}} = x \cr & {\text{Time}} = t{\text{ years}} \cr & {\text{Rate}} = 4t\% \cr & \therefore {\text{S}}{\text{.I}}{\text{.}} = \frac{{P \times R \times T}}{{100}} \cr & x = \frac{{4x \times 4t \times t}}{{100}} \cr & {t^2} = \frac{{100}}{{16}} \cr & {t^2} = \frac{{25}}{4} \cr & \therefore t = \frac{5}{2} = 2.5{\text{ years}} \cr & \therefore R = 4 \times 2.5{\text{ years}} = 10\% \cr & {\text{New rate}} = 10\% + 2\% \cr & P = {\text{Rs}}{\text{. }}5000 \cr & T = 3{\text{ years}} \cr & {\text{S}}{\text{.I}}{\text{.}} = \frac{{P \times R \times T}}{{100}} \cr & = \frac{{5000 \times 12 \times 3}}{{100}} \cr & = {\text{Rs}}{\text{. }}1800 \cr} $$
Related Questions on Interest
Find the simple interest on Rs. 5200 for 2 years at 6% per annum.
A. Rs. 450
B. Rs. 524
C. Rs. 600
D. Rs. 624
Rs. 1200 is lent out at 5% per annum simple interest for 3 years. Find the amount after 3 years.
A. Rs. 1380
B. Rs. 1290
C. Rs. 1470
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E. Rs. 1240
Interest obtained on a sum of Rs. 5000 for 3 years is Rs. 1500. Find the rate percent.
A. 8%
B. 9%
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E. 12%
Rs. 2100 is lent at compound interest of 5% per annum for 2 years. Find the amount after two years.
A. Rs. 2300
B. Rs. 2315.25
C. Rs. 2310
D. Rs. 2320
E. None of these
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