SIMPLE INTEREST B5

Ashish deposited the amount of 20,000/= in a bank for 3 years and got a profit of 3600/=. Find the interest rate?

Solution

I = 3600/=, P = 20,000/=, T = 3 years, R = ?

I  = PRT

      100

3600  = 20,000 x R x 3

                      100

3600  = 20,000 x R x 3

                      100

3600  = 200 x R x 3

                     

3600  = 600R

           

⁶3600  = 600R

   600       600

Hence the interest rate was 6%