Question

Find the simple interest, when Principal = Rs 12000, Rate of Interest = 18% per annum and Time = 4 months.

Answer 1

Given Principal = Rs 12000, Rate of Interest = 18% per annum and Time = 4 months = (4/12) = (1/3) years

We know that simple interest = (P × T × R)/100

On substituting these values in above equation we get

SI = (12000 × (1/3) × 18)/100

SI = (12000 × 1 × 18)/100 × 3

= Rs 720