Multiple choice

Calculate the principal when time $= 4$ years, interest $=$ Rs. $4000$; rate = $10$% p.a

  1. $5,000$
  2. $10,000$
  3. $15,000$
  4. $20,000$
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Simple interest formula: SI = (P * R * T) / 100. 4000 = (P * 10 * 4) / 100. 4000 = 0.4 * P. P = 4000 / 0.4 = 10000.

AI explanation

To calculate the principal, rearrange the simple interest formula to P = (100 * I) / (R * T). Substituting the given values gives P = (100 * 4000) / (10 * 4), which simplifies to 400000 / 40. This calculation results in a principal amount of Rs. 10,000.

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