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Question

Arrange the simple interest of the following cases in decreasing order-
(A) The simple interest on Rs 6600 at 5% per annum for 2 yrs.
(B) The simple interest on Rs 200 at 6% per annum for 5 yrs.
(C) The simple interest on Rs 840 at 5% per annum for 4 yrs.
(D) The simple interest on Rs 5000 at 12% per annum for 2 yrs.
Choose the correct answer from the options given below:

The correct answer is
(A), (B), (C), (D)

Simple Interest Calculation for Each Case

To determine the correct order of simple interest for the given cases, we must first calculate the simple interest (SI) for each scenario. The formula for simple interest is:

$SI = \frac{P \times R \times T}{100}$

Where:

  • P represents the Principal amount.
  • R represents the annual Rate of interest.
  • T represents the Time period in years.

Case (A) Calculation

For Case (A), the details are:

  • Principal (PA) = Rs 6600
  • Rate (RA) = 5% per annum
  • Time (TA) = 2 years

Using the formula:

$SI_A = \frac{6600 \times 5 \times 2}{100} = \frac{6600}{100} \times 10 = 66 \times 10 = 660$

So, the simple interest for Case (A) is Rs 660.

Case (B) Calculation

For Case (B), the details are:

  • Principal (PB) = Rs 200
  • Rate (RB) = 6% per annum
  • Time (TB) = 5 years

Using the formula:

$SI_B = \frac{200 \times 6 \times 5}{100} = \frac{200}{100} \times 30 = 2 \times 30 = 60$

So, the simple interest for Case (B) is Rs 60.

Case (C) Calculation

For Case (C), the details are:

  • Principal (PC) = Rs 840
  • Rate (RC) = 5% per annum
  • Time (TC) = 4 years

Using the formula:

$SI_C = \frac{840 \times 5 \times 4}{100} = \frac{840 \times 20}{100} = \frac{16800}{100} = 168$

So, the simple interest for Case (C) is Rs 168.

Case (D) Calculation

For Case (D), the details are:

  • Principal (PD) = Rs 5000
  • Rate (RD) = 12% per annum
  • Time (TD) = 2 years

Using the formula:

$SI_D = \frac{5000 \times 12 \times 2}{100} = \frac{5000}{100} \times 24 = 50 \times 24 = 1200$

So, the simple interest for Case (D) is Rs 1200.

Interest Values Comparison

After calculating the simple interest for all four cases, we can compare the values:

Case Simple Interest (Rs)
(A) 660
(B) 60
(C) 168
(D) 1200

Decreasing Order Arrangement

The question asks to arrange the simple interest amounts in decreasing order, which means from the largest amount to the smallest amount. Based on the calculated values:

  • The highest simple interest is Rs 1200, which corresponds to Case (D).
  • The next highest is Rs 660, corresponding to Case (A).
  • The following interest is Rs 168, corresponding to Case (C).
  • The lowest simple interest is Rs 60, corresponding to Case (B).

Therefore, the simple interest of the cases in decreasing order is (D), (A), (C), (B).

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Important Questions from Simple Interest

  1. How much time will it take for an amount of Rs. 450 to yield Rs. 81 as interest at 4.5% per annum of simple interest ?

  2. Nirav and Mehul borrowed Rs.4000 and Rs.5000 respectively for 2.5 years at the rate of x% per annum. Mehul paid Rs 125 more interest than Nirav. Find x.

  3. If the interest on a sum of Rs.1200 is more than the interest on Rs.1000 by Rs.120 in three years, then what is the rate of interest per annum?.

  4. The difference between the simple interest received from two banks on Rs. 500 for two years is Rs. 2.50. What is the difference between their rates?

  5. A sum of Rs.1200 becomes Rs.1560 at a rate of simple interest in 3 years. In how many years will the sum of Rs.800 amount to Rs.1120 at the same rate of simple interest?

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