Mr. Singh invested $9 840 in a bank for 5 years and received $5 141.40 simple interest.Calculate the rate percent per annum that his investment achieved
Question
Mr. Singh's Investment Problem
Mr. Singh invested 5,141.40 simple interest.
Calculate the rate percent per annum that his investment achieved.
Solution
To calculate the rate of interest per annum, we can use the formula for simple interest which is:
I = PRT/100
where: I = Interest P = Principal amount (the initial amount of money) R = Rate of interest T = Time (in years)
In this case, we know that: I = 9,840 T = 5 years
We need to find R. So, we rearrange the formula to solve for R:
R = I * 100 / (P * T)
Substituting the given values:
R = 5141.40 * 100 / (9840 * 5)
R = 514140 / 49200
R = 10.45
So, the rate of interest per annum that Mr. Singh's investment achieved is 10.45%.
Similar Questions
Calculate the amount of money invested at 9.25% per annum, when $5 781.25 simpleinterest was collected after 5 years.
What is the simple interest on Rs. 90000 for 5 years at 8% per annum rate of interest?Question 6Answera.Rs. 32000b.Rs. 46000c.Rs. 30000d.Rs. 36000
The simple interest on $15 000 for 9 years is $6 750. Calculate the rate percent per annum.
Rames h deposit an amount 9000 .after 2 years he withdraw 4000.after5years he got 7640 rs .find out the rate of interest
A sum invested on simple interest grows to Rs 22500/- and Rs 25500/- is seven and nine years respectively. What is the rate percentage of the interest ?
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.