Mathematics for FinancePYQ June 24Question 1258 of 512
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An amount 4,500\displaystyle 4,500 becomes 7,200\displaystyle 7,200 in 2\displaystyle 2 years at simple interest rate of:

Options

A15%\displaystyle 15\%
B20%\displaystyle 20\%
C30%\displaystyle 30\%
D40%\displaystyle 40\%
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Correct Answer

✅ Option c — 30%\displaystyle 30\%

All Options:

  • A15%\displaystyle 15\%
  • B20%\displaystyle 20\%
  • C30%\displaystyle 30\%
  • D40%\displaystyle 40\%

Detailed Solution & Explanation

**Derivation of Simple Interest Rate** Given: - Principal (P\displaystyle P) = Rs. 4,500\displaystyle \text{Rs. }4,500 - Amount (A\displaystyle A) = Rs. 7,200\displaystyle \text{Rs. }7,200 - Time (T\displaystyle T) = 2\displaystyle 2 years **Step 1: Calculate the Simple Interest earned (SI\displaystyle SI)** SI=A−P=7200−4500=Rs. 2,700SI = A - P = 7200 - 4500 = \text{Rs. }2,700 **Step 2: Solve for Rate (R\displaystyle R)** SI=P×R×T100SI = \frac{P \times R \times T}{100} 2700=4500×R×21002700 = \frac{4500 \times R \times 2}{100} 2700=90R2700 = 90 R R=270090=30% per annumR = \frac{2700}{90} = 30\% \text{ per annum} Hence, **Option C** is the correct answer.

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