Question
A bank provides a loan at the rate of 5% per annum to a
trader on an amount of 12,50,000 for 5 years. The simple interest to be paid is:Solution
Simple Interest = Principal × Rate/100 × Time Simple Interest = 12,50,000 × 5/100 × 5 = 312500 ∴ The simple interest is Rs.312500
Which of the following statements is correct?
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