58,750 amounts to Rs 7,79,900 in four years at simple interest. What is the rate of interest paid?

Solution

Let the rate of interest be R % per annum
Principal Amount = Rs 58750
Total Amount in 4 years = Rs 79900
Simple interest paid = 79900 - 58750 = Rs 21150
SI = (P x R x T )/ 100
21150 = $\frac{58750 \times R \times 4}{100}$
R = 9 % per annum