Question
Class 7MathematicsComparing Quantities

What sum of money lent out at 12 per cent p.a. simple interest would produce ₹ 9000 as interest in 2 years?

Verified Answer

Here, Interest = ₹9000

Rate = 12% p.a.

Time = 2 years

Principal = ?

Principal = (100 × I) / (R × T)

= (100 × 9000) / (12 × 2)

= ₹37500

Hence, the required principal amount = ₹37500.