1.

The rate of simple interest per annum of bank being decreased from 5% to \(3\frac{1}{2}\%\), the annual income of a person from interest was less by Rs. 105. The sum deposited at the bank was1). Rs. 7,0002). Rs. 6,0003). Rs. 7,2004). Rs. 6,800

Answer»

We know that, SI = P × R × T/100

Where, P = PRINCIPAL, R = % RATE of interest, T = time in years

Here, SI1 = P × R1 × T/100 and SI2 = P × R2 × T/100

SI1 – SI2 = P × (R1 – R2) × T/100

Change in the interest rate = 1.5%

Change in the interest OBTAINED = 105

⇒ 105 = P × 1.5/100 = 7000


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