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Question : Simple interest received by a person in 15 years on a principal of Rs. 6000 is 150 percent of the principal. What is the annual rate of interest?

Option 1: 20 percent

Option 2: 30 percent

Option 3: 10 percent

Option 4: 25 percent


Team Careers360 25th Jan, 2024
Answer (1)
Team Careers360 27th Jan, 2024

Correct Answer: 10 percent


Solution : Given,
Principal = Rs. 6000
Time = 15 years
Let the rate be $R$.
Simple interest = 150% of Principal $=\frac{150}{100}\times6000=9000$
We know, Simple interest = $\frac{\text{Principal × Rate × Time}}{100}$
⇒ $9000 = \frac{6000\times R\times15}{100}$
⇒ $R=\frac{9000\times100}{6000\times15}$
$\therefore R=10\%$
Hence, the correct answer is 10 percent.

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