Multiple choice

The simple interest on a sum of money will be Rs. 2940 after 12 years. If the principal becomes five times after six years, what will be the total interest after 12 years?

  1. Rs. 8720

  2. Rs. 8820

  3. Rs. 8880

  4. Rs. 8920

  5. Rs. 8980
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Let P be principal and R be rate. Given: SI after 12 years = P × R × 12 = 2940. After 6 years, amount becomes 5P, so SI = 4P = P × R × 6. From this, 6R = 4, giving R = 2/3%. Substituting: P × (2/3) × 12 = 2940, so 8P = 2940 and P = 367.5. Total interest after 12 years = 2940 (from SI calculation) + additional from principal growth = 8820. Option A (8720) is close but incorrect. Options C, D, E are arithmetic errors.

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