Simple Interest — Rakesh lends ₹ 8750 at 7% per annum. Find the simple interest in 3 years.

Introduction / Context:
A straightforward application of SI = P * r * t with clearly given values.

Given Data / Assumptions:

• P = ₹ 8750.
• r = 7% per annum = 0.07.
• t = 3 years.

Concept / Approach:
Compute simple interest using the standard formula.

Step-by-Step Solution:
SI = 8750 * 0.07 * 3.0.07 * 3 = 0.21.SI = 8750 * 0.21 = ₹ 1837.50.

Verification / Alternative check:
10% of 8750 = 875; 7% = 612.5; in 3 years: 612.5 * 3 = 1837.5.

Why Other Options Are Wrong:
₹ 1870 and others are near but do not match the exact computation.

Common Pitfalls:
Rounding prematurely or misplacing the decimal when multiplying percentages.

Final Answer:
₹ 1837.50