Example for Simple Interest

Model I 

1. Find simple interest on Rs.1500 at 5% per annum for 2 years.

Solution

Here given that :

P=1500, R=5% , T= 2 years

Then using the formula

Simple Interest(S.I)=

                               = = Rs.150 Ans.

2. What would be the simple interest obtained on an amount of Rs.4540 at the rate of 8 p.c.p.a. after 8 years? 

Solution

Here given that :

P=4540, R=8 , T= 8 years

Then using the formula

Simple Interest(S.I)=

                               = = Rs.2905.6 Ans.

Model II

1. Find out the capital require to earn a monthly interest of Rs.600 at 6% simple interest.

Solution

Interest for 1 month= Rs.600

for 1 year=12*600 = 7200

S.I=7200, R=6% , T= 1 years

Then using the formula

    

      = Rs.1,20,000 Ans

2. Shilpa invests a certain amount at the rate of 6 p.c.p.a. for 5 years. If she obtains a simple interest of Rs.8490 at the end of 5 years, how much amount shilpa invest? 

Solution

Here given that :

=8490, R=6 , T= 5 years

Then using the formula

    

       = 

       = Rs.28300 Ans

Model III

1. Sonia invested an amount of Rs.17500 at the rate of 8 p.c.p.a. After how many years will she obtain the simple interest of 16800 ?

Solution

Here given that :

P=17500, R=8 , T= ?, S.I = 16800

Then using the formula

=

                                  T=12 Ans

2. In how many years will a man get a simple interest Rs.1428 on a principal of Rs. 4080 at the rate of 7 p.c.p.a?

Solution

Here given that :

P=4080, R=7, T= ?, S.I = 1428

Then using the formula

=

                     = 5 Ans

Model IV

1. At what rate percent per annum interest will Rs.2 produce Rs.10 in 50 years?

Solution

P=2, S.I=10, T=50 and R=?

Then using the formula

=

                       =10 % Ans

2. The simple interest accured in 8 years on a principal of Rs.20000 is one tenth the principal. What is the rate of simple interest p.c.p.a?

Solution

=2000

P=20000, S.I=2000, T=8 and R=?

Then using the formula

=

                    R= 1.25 Ans

Model V

1. Sourabhi invested an amount of Rs.16840 at the rate of 6 p.c.p.a for 5 years. What total amount will she obtain with the simple interest at the said rate at the end of 5 years?

Solution

P=16840, R=6, T=5 and A=?

Then using the formula

Amount= Principal + Simple Interest

 Simple Interest(S.I)=

                                =

                           S.I= 5052

A=P+S.I 

   =16840+5052

   = 21892 Ans

2. Shrihari invested an amount of Rs.22400 at simple interest 12 p.c.p.a. How much amount will he get after seven years?

Solution

P=22400, R=12, T=7 and A=?

Then using the formula

Amount= Principal + Simple Interest

 Simple Interest(S.I)=

                                =

                           S.I=41216

A=P+S.I 

   =22400+18816

   = 41216 Ans