Q. A sum becomes ₹1500 in 2 years at 5% simple interest. What is the principal?
✅ Correct Answer: (A)
₹1300
Explanation: Interest = (P × R × T) / 100 → 1500 = P + (P×5×2)/100 → 1500 = P(1 + 0.1) → P = 1500/1.1 = 1300.
Explanation by: Mr. Dubey
Interest = (P × R × T) / 100 → 1500 = P + (P×5×2)/100 → 1500 = P(1 + 0.1) → P = 1500/1.1 = 1300.