Correct Answer - Option 2 : Rs. 13200

**Given**

Simple interest for 3 years - simple interest for 2 years = Rs. 396

Rate = 3%

**Formula used**

Simple interest = (p × r × t)/100

Where p, r and t are principal, rate and time respectively

**Calculation**

Interest for 1 year = 396

⇒ 396 = (P × 3 × 1)/100

⇒ (396 × 100)/3 = P

⇒ 13200 = P

**∴ Principal is Rs. 13,200**