Question

In a certain time Rs. 1200 becomes Rs. 1560 at 10% PA simple interest. Then the principal amount that will become Rs. 2232 at 8% PA in the same time is :
1. 1800
2. 1860
3. 1920
4. 2000

Answer 1

Correct Answer - Option 1 : 1800

Given

In a certain time Rs. 1200 becomes Rs. 1560 at 10% PA simple interest

Given

SI = (P × R × T)/100

SI = Simple interest

P = Principal

R = Rate

T = Time

SI = Amount - Principal

Calculation

SI = 1560 - 1200 = 360

⇒ 360 = (1200 × 10 T)/100

⇒ T = 3 years

⇒ New rate of interest for 3 years = 3 × 8

⇒ 24%

⇒ New Amount =  2232

⇒  124% = 2232

⇒ 1% = 18

⇒ 100% = 1800

∴ The principal amount that will become Rs. 2232 at 8% PA in the same time is Rs.1800