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S.I. on certain sum of money at 5% p.a. for 4 years is Rs. 1,750. What would be C.I. at same rate of interest and for same time period?1. Rs. 1,9002. Rs. 1,885.683. Rs. 1,8854. Rs. 1,880 |
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Answer» Correct Answer - Option 2 : Rs. 1,885.68 Given: S.I. on certain sum of money at 5% p.a. for 4 years is Rs. 1,750. Concepts used: S.I. = P × R × T/100 C.I. = P × [1 + (R/100)]T – P Calculation: S.I. = P × R × T/100 ⇒ Rs. 1,750 = P × 5 × 4/100 ⇒ P = Rs. 1,750 × 100/5 × 4 ⇒ P = Rs. 8,750 C.I. = P × [1 + (R/100)]T – P ⇒ Rs. 8,750 × [1 + (5/100)]4 – Rs. 8,750 ⇒ Rs. 10,635.68 – Rs. 8,750 ⇒ Rs. 1,885.68 ∴ C.I. for 4 years at 5% p.a. on principal amount being, Rs. 8,750 is Rs. 1,885.68. |
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