Mathematics for FinanceMTP Dec 23 Series IIQuestion 1399 of 512
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The simple interest on 600\displaystyle 600 for 9 months is 27\displaystyle 27. Find the interest rate.

Options

A6%\displaystyle 6\%
B12%\displaystyle 12\%
C2.2%\displaystyle 2.2\%
DNone of these
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Correct Answer

✅ Option a — 6%\displaystyle 6\%

All Options:

  • A6%\displaystyle 6\%
  • B12%\displaystyle 12\%
  • C2.2%\displaystyle 2.2\%
  • DNone of these

Detailed Solution & Explanation

**Derivation of Interest Rate** Given: - Principal (P\displaystyle P) = Rs. 600\displaystyle \text{Rs. }600 - Simple Interest (SI\displaystyle SI) = Rs. 27\displaystyle \text{Rs. }27 - Time (t\displaystyle t) = 9\displaystyle 9 months = 912=0.75\displaystyle \frac{9}{12} = 0.75 years **Step 1: Set up the Simple Interest formula** SI=P×R×t100SI = \frac{P \times R \times t}{100} 27=600×R×0.7510027 = \frac{600 \times R \times 0.75}{100} 27=6×0.75R27 = 6 \times 0.75 R 27=4.5R27 = 4.5 R **Step 2: Solve for R\displaystyle R** R=274.5=6% per annumR = \frac{27}{4.5} = 6\% \text{ per annum} Hence, **Option A** is the correct answer.

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