Simple Interest – Find principal from annual interest requirement: At a simple interest rate of 12% per annum, what principal will earn Rs 6,000 interest per year?
Aptitude
Simple Interest
Difficulty: Easy
Choose an option
Answer
Correct Answer: Rs 50000
Explanation
Introduction / Context:Under SI, yearly interest equals P * r. If the required yearly interest is known, we can directly solve for P.
Given Data / Assumptions:
- Annual SI desired = Rs 6000
- r = 12% = 0.12 per annum
Concept / Approach:P = (Annual SI) / r.
Step-by-Step Solution:
P = 6000 / 0.12 = Rs 50000Verification / Alternative check:
Annual SI on Rs 50000 at 12% = 50000 * 0.12 = Rs 6000Why Other Options Are Wrong:
- Rs 7200 / 48543.69: numerically inconsistent.
- Rs 72000 / Rs 60000: give different annual interests than Rs 6000 at 12%.
Common Pitfalls:
- Treating the figure as total interest over multiple years instead of annual.
Final Answer:Rs 50000.