Question

Find the simple interest for of the following. time 2 years and 6 months Rate of interest 6.25% principal rs225000 p.a. Simple Interes =​

Answer 1

$35,156.25

Explanation:

In order to calculate the simple interest that would be produced, we need to use the following formula:

`\boxed{I = (PRT)/(100)}`,

where:

I ⇒ simple interest

P ⇒ principle = RS. 225,000

R ⇒ interest rate p.a. ⇒ 6.25 %

T ⇒ time in years = 2 years, 6 months = 2.5 years

Using the above formula and information, we can calculate the simple interest:

I =
`(225000 * 6.25 * 2.5)/(100)`

=
`(3,515,625)/(100)`

=
`35,156.25`

Therefore, the simple interest is $35,156.25.