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    In how many years will Rs. 2,500 invested at the rate of 16% p.a. simple interest, amount to Rs. 4,100?
    Question

    In how many years will Rs. 2,500 invested at the rate of 16% p.a. simple interest, amount to Rs. 4,100?

    A.

    4

    B.

    3

    C.

    5

    D.

    6

    Correct option is A

    Given:
    Principal (P) = Rs. 2,500
    Rate of interest (R) = 16% per annum
    Amount (A) = Rs. 4,100
    Formula Used:
    SI=P×R×T100\text{SI} = \frac{P \times R \times T}{100}​​
    A = P + SI
    Where, A = amount, P = principal, R = rate of interest, T = time, SI = simple interest.
    Solution:
    SI = A – P = 4100 – 2500 = 1600
    Now, Putting the values in SI formula;
    1600=2500×16×t1001600 = \frac{2500 \times 16 \times t}{100}​​
    1600=400×t1600 = 400 \times t​​
    t=1600400=4t = \frac{1600}{400} = 4​​
    Thus, The investment will amount to Rs. 4,100 in 4 years.

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