Multiple choice

Find the sum which amounts to $Rs. 2160$ in $2$ years at $4\%$ simple interest.

  1. Rs. $500$
  2. Rs. $1,000$
  3. Rs. $1,500$
  4. Rs. $2,000$
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

A = P(1 + RT/100). 2160 = P(1 + (4*2)/100) = P(1.08). P = 2160 / 1.08 = 2000.

AI explanation

Using the Simple Interest formula, Amount = Principal + (Principal x Rate x Time) / 100, which simplifies to 2160 = P + (P x 4 x 2) / 100. This gives 2160 = P + 0.08P, so 2160 = 1.08P. Dividing 2160 by 1.08 yields a principal of Rs. 2000.

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