Question : The sum of money at simple interest amounts to INR 750 in 3 years and to INR 825 in 4 years. The sum is:
Option 1: INR 475
Option 2: INR 500
Option 3: INR 550
Option 4: INR 525
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Correct Answer: INR 525
Solution :
Simple interest for 1 year = 825 − 750 = INR 75
Simple interest for 4 years = 75 × 4 = INR 300
$\therefore$ Principal = 825 − 300 = INR 525
Hence, the correct answer is INR 525.
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