Test: Simple Interest - JSS 3 MCQ

The time period must match the rate of interest to ensure consistency in calculations; otherwise, it could result in incorrect interest calculations.

First, calculate the simple interest: S.I. = (15,000 × 9 × 5) / 100 = ₹6,750. Then, the total amount is A = 15,000 + 6,750 = ₹21,750.

The simple interest can be calculated as S.I. = A - P = 12,000 - 10,000 = ₹2,000.

The original amount of money borrowed is called the principal. It forms the basis for calculating the interest that will be paid over time.

If the amount triples, S.I. = A - P = 2P. Using R = (S.I. × 100) / (P × T), we find R = (2P × 100) / (P × 4) = 50%.

The term 'amount' refers to the total sum that includes both the principal and the interest paid, calculated as A = P + S.I.

Increasing the rate of interest directly increases the simple interest earned, as they are directly proportional based on the formula S.I. = (P × R × T) / 100.

Increasing the principal amount will increase the interest earned, as the interest is directly proportional to the principal when the rate and time are held constant.

In the formula for simple interest, 'R' represents the rate of interest, which is a percentage indicating how much interest is charged or earned on the principal over a specified time period.

The total amount to be paid back, denoted as 'A', is calculated by adding the principal (P) and the simple interest (S.I.), resulting in A = P + S.I.

The simple interest is calculated as S.I. = (2,500 × 5 × 4) / 100 = ₹500. Therefore, the total interest earned over 4 years is ₹500.

Using R = (S.I. × 100) / (P × T), we find R = (1,200 × 100) / (8,000 × 3) = 5%.

First, calculate the simple interest: S.I. = (5,000 × 6 × 3) / 100 = ₹900. Therefore, total amount A = 5,000 + 900 = ₹5,900.

The time period can be calculated using the formula T = (S.I. × 100) / (P × R), allowing the time to be determined from interest data.

By calculating the difference in interest earned based on the difference in principal and using the formula for simple interest, you can isolate and find the rate.

To find the principal, the formula is P = (S.I. × 100) / (R × T), allowing you to isolate the principal from the interest calculations.

The simple interest can be calculated as S.I. = (P × R × T) / 100. Thus, S.I. = (10,000 × 5 × 2) / 100 = ₹1,000.

Using the formula R = (S.I. × 100) / (P × T), we find R = (240 × 100) / (1,200 × 2) = 10%.

Using the formula P = (S.I. × 100) / (R × T), we find P = (800 × 100) / (10 × 4) = ₹2,000.

To convert days to years, you divide the number of days by 365, which allows the rate (if it’s annual) to align correctly with the time period.