Question

Angela deposited 15000 rupees in the bank at a rate 9 percent per annum. She got simple interest amounting to 5400 rupees. For how many years had she deposited the amount?

Answer 1

Hint: Simple interest is the concept related to lending or borrowing of money. One who’s borrowing the amount of money has to pay a certain amount in the form of interest as well and since the money has been deposited at a rate of 9 percentage in this case it means bank will be paying interest of 5400 rupees on 15000 rupees at a rate of 9% which is the simple interest.

Complete step-by-step answer:
All the terms simple interest, principal, rate and time have been interrelated by the following relation given below as:
 $ S.I = \dfrac{{P \times R \times T}}{{100}} $
From the above question we know that the S.I is given as 5400 rupees, for the principal of 15000 rupees and the rate is given as 9%p.a. Therefore the time calculated will be:
We can derive the time from the above relation as;
 $ T = \dfrac{{S.I \times 100}}{{P \times R}} $
Now substituting the given values in the above relation we get,
 $
\Rightarrow T = \dfrac{{5400 \times 100}}{{15000 \times 9}} \\
\Rightarrow T = \dfrac{{60}}{{15}} = 4\;yrs \\
 $
Hence we can conclude that Angela deposited the amount of 15000 rupees every year for the coming 4 years.
So, the correct answer is “4”.

Note: Since the rate in this case is per year therefore the calculated time is also in years. But if time is taken quarterly or semi annually the same way the rate of interest will be counted four times or two times respectively .So in the above problem we got time when simple interest, principal and rate of interest is given.