A sum becomes Rs. 16000 in 6 years on simple interest at the rate of 25% per…
2021
A sum becomes Rs. 16000 in 6 years on simple interest at the rate of 25% per annum. What is the total interest for the 6 years?
- A.
6000
- B.
9000
- C.
8400
- D.
9600
Attempted by 54 students.
Show answer & explanation
Correct answer: D
Key idea: use the simple interest relations: interest = principal × rate × time / 100, and amount = principal + interest.
Let the principal be P. Simple interest for 6 years at 25% = P × 25% × 6 = 1.5P.
Amount = principal + interest = P + 1.5P = 2.5P. Given amount = 16000, so 2.5P = 16000 ⇒ P = 16000 / 2.5 = 6400.
Total interest = amount − principal = 16000 − 6400 = 9600.
Answer: 9600