Calculate Simple Interest Yield
This problem involves calculating the simple interest (SI) earned on an investment.
Simple Interest Formula
The formula for simple interest is:
$ $ SI = \frac{P \times R \times T}{100} $ $
Where:
- $P$ is the Principal amount (the initial sum of money)
- $R$ is the Rate of interest per annum
- $T$ is the Time period in years
Applying the Formula
Given values:
- Principal ($P$) = ₹ 2,000
- Rate ($R$) = 8.5% per annum
- Time ($T$) = 6 years
Substitute these values into the formula:
$ $ SI = \frac{2000 \times 8.5 \times 6}{100} $ $
Interest Calculation Steps
- Simplify the fraction: $ $ SI = 20 \times 8.5 \times 6 $ $
- Calculate the product: $ $ SI = 20 \times 51 $ $
- Final result: $ $ SI = 1020 $ $
The simple interest yielded is ₹ 1,020.
Identify Correct Option
The calculated interest of ₹ 1,020 matches Option B.
Similar Questions
- ₹ $x$ invested at 9% simple interest per annum for 5 years yields the same interest as that on ₹ $y$ invested at 6.25% simple interest per annum for 8 years. Find $x : y$.
Important Questions from Simple Interest
If ₹12,800 is invested in a bank for 5 years at the rate of 9% per annum simple interest. what amount is returned by the bank?
Somu has borrowed ₹10,000 from a money lender with simple interest at a rate of 7% half yearly. How much amount will he pay to the money lender after 3 years?
Find the Simple interest on Rs. 2,400 from 20 March 2019 to 31 may 2019 at \(6{1 \over 4}\) % rate?
If the simple interest for five years is equal is 35% of the principal, that rate of interest is:
A sum fetched a simple interest of Rs. 3,040 at the rate of 8% p.a in 5 years. what is the sum?
