Simple Interest — A sum at 13.5% per annum amounts to ₹ 3080 in 4 years. Find the principal (original sum).

Difficulty: Easy

Correct Answer: ₹ 2000

Explanation:


Introduction / Context:
Given amount after a period under simple interest, find the original principal using A = P * (1 + r * t).



Given Data / Assumptions:

  • A = ₹ 3080.
  • r = 13.5% = 0.135 per annum.
  • t = 4 years.


Concept / Approach:
A = P * (1 + r * t) ⇒ P = A / (1 + r * t).



Step-by-Step Solution:
1 + r * t = 1 + 0.135 * 4 = 1 + 0.54 = 1.54.P = 3080 / 1.54 = ₹ 2000.



Verification / Alternative check:
Compute SI = P * r * t = 2000 * 0.135 * 4 = 1080. Amount = 2000 + 1080 = 3080.



Why Other Options Are Wrong:
Other values do not reproduce amount 3080 when used in A = P * (1 + r * t).



Common Pitfalls:
Using compound formula mistakenly; here interest is simple.



Final Answer:
₹ 2000

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