Deepa deposited ₹10,000 in a bank on simple interest. After 4 years, she received an amount of ₹12,400. Find the rate of interest.

Correct option is A

Given:

Time =4 year

Amount =₹12400

Principle =₹10000

Formula Used:

Simple Interest = $$\frac{P \times r \times t }{100}$$​​

Interest = Amount - Principle

Solution:

Interest = 12400 - 10000 = ₹2400

​$$2400 = \frac{10000 \times r \times 4 }{100}$$​​

r= 6%p.a.