Question

Riya deposits Rs. 5800 at 6% rate of simple interest per annum. How much amount will she receive after 12 years?
1. Rs. 8576
2. Rs. 7890
3. Rs. 9976
4. Rs. 10524

Answer 1

Correct Answer - Option 3 : Rs. 9976

Given:

P = Rs 5800

R = 6%

N = 12

Formula used:

I = P × R × N/ 100

A = P + I

Where, P = Principal amount, R = Rate of interest, N = number of years and I = Simple interest

Calculation:

I = 5800 × 6 × 12/ 100

⇒ I = 58 × 12 × 6

⇒ I = 4176

A = P + I

⇒ A = 5800 + 4176

∴ Required answer is Rs. 9976