Question

If Meena gives an interest of Rs. 45 for one year at ${\text{9\% }}$ rate p.a.
What is the sum she has borrowed?

Answer 1

Hint:-Simple Interest $ = \dfrac{{{\text{(principle value)*(Interest rate)*(time period)}}}}{{100}}$

As, we are given with simple interest, rate of interest and time period.
And asked for the initial amount borrowed by Meena.
$ \Rightarrow $So, Simple interest $ = {\text{ }}Rs45$
$ \Rightarrow $Rate for interest for 1 year is ${\text{9\% }}$p.a.
$ \Rightarrow $Time period $ = $ 1 Year
And as we know that formula for Simple Interest $(S.I)$ is calculated as,
$ \Rightarrow S.I. = \dfrac{{PRT}}{{100}}$ (1)
Where,
P $ = $ Principle amount or initial amount borrowed (we had to find)
R $ = $ Rate of interest on the initial amount borrowed by Meena.
T $ = $ Time period
S.I $ = $ Simple Interest
So, now putting the values of S.I, P, T and R in the equation 1. We get,
$ \Rightarrow 45 = \dfrac{{P*9*1}}{{100}}$
Solving the above equation for getting the value of P. We get,
$ \Rightarrow P = \dfrac{{4500}}{9}$
So, P $ = $ Rs 500
$ \Rightarrow $Hence, the amount borrowed by Meena is Rs 500.
Note:- Whenever we came up with this type of question where we are given with
Simple Interest, then we had to use Simple interest formula $\left( {S.I. = \dfrac{{PRT}}{{100}}} \right)$, to
get the required answer.