Multiple choice

At what rate per cent per annum will Rs. $630$ produce an interest of Rs. $126$ in $4$ years ?

  1. $3\%$
  2. $5\%$
  3. $8\%$
  4. $9\%$
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Simple Interest = (P * R * T) / 100. 126 = (630 * R * 4) / 100 => 126 = 25.2 * R => R = 126 / 25.2 = 5%.

AI explanation

Using the simple interest formula, Rate = (Simple Interest * 100) / (Principal * Time). Substituting the given values gives Rate = (126 * 100) / (630 * 4). This simplifies to 12600 / 2520, which equals 5%.

Keep practicing — related questions