Calculate Principal Sum for Simple Interest
This problem requires calculating the initial sum (Principal, P) based on the simple interest earned, the time period, and the annual interest rate.
Simple Interest Formula
The formula for Simple Interest (SI) is:
\( SI = \frac{P \times R \times T}{100} \)
Where:
- SI = Simple Interest
- P = Principal Sum
- R = Rate of Interest per year (%)
- T = Time period (in years)
Solving for the Principal Sum (P)
To find the Principal Sum (P), we rearrange the formula:
\( P = \frac{SI \times 100}{R \times T} \)
Given Values
- Simple Interest (SI) = ₹480
- Time (T) = 3 years
- Rate (R) = 5% per year
Calculation Steps
- Substitute the given values into the rearranged formula:
\( P = \frac{480 \times 100}{5 \times 3} \)
- Calculate the numerator:
\( 480 \times 100 = 48000 \)
- Calculate the denominator:
\( 5 \times 3 = 15 \)
- Divide the numerator by the denominator to find P:
\( P = \frac{48000}{15} = 3200 \)
Result
The Principal Sum (P) is ₹3200.
Similar Questions
- A sum of ₹ 2,000, invested at the rate of 8.5% simple interest per annum for 6 years will yield an interest of:
- ₹ $x$ 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?
