Multiple choice

A sum of money was lent at simple interest at $11\%$ p.a. for $3\frac{1}{2}$ years and $4\frac{1}{2}$ years respectively. If the difference in interests for two periods was Rs. $5500$, then the sum is

  1. Rs. $50050$
  2. Rs. $55000$
  3. Rs. $50000$
  4. Rs. $50500$
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Interest difference = P * R * (T2 - T1) / 100. 5500 = P * 11 * (4.5 - 3.5) / 100. 5500 = P * 11 * 1 / 100. 550000 = 11 * P. P = 50000.

AI explanation

The difference in time periods is 4.5 years minus 3.5 years, which equals 1 year. Using the simple interest formula for this one-year difference, Principal = (Difference * 100) / (Rate * Time) = (5500 * 100) / (11 * 1). This simplifies to Rs. 50000 as the original sum.

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