Multiple choice

If simple interest on a sum at the rate of 10% amounts to Rs. 4,000 in 4 years, what will be the sum?

  1. Rs. 9,000

  2. Rs. 10,000

  3. Rs. 11,000

  4. Rs. 12,000
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Simple Interest = (Principal × Rate × Time) / 100. Given SI = 4000, Rate = 10%, Time = 4 years. Then Principal = (SI × 100) / (Rate × Time) = (4000 × 100) / (10 × 4) = 400000 / 40 = Rs. 10,000. Verify: 10,000 × 10% × 4 = Rs. 4,000 ✓

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