What is the simple interest? Statement I: Principal is Rs. <span class="math-inline" data-latex-source="5000" data-display-mode="false" contenteditable="false"><span class="katex"><span class="katex-mathml"><math xmlns="http://www.w3.org/1998/Math/MathML"><semantics><mrow><mn>5000</mn></mrow><annotation encoding="application/x-tex">5000</annotation></semantics></math></span><span class="katex-html" aria-hidden="true"><span class="base"><span class="strut" style="height:0.6444em;"></span><span class="mord">5000</span></span></span></span></span>. Statement II: Rate is <span class="math-inline" data-latex-source="8\%" data-display-mode="false" contenteditable="false"><span class="katex"><span class="katex-mathml"><math xmlns="http://www.w3.org/1998/Math/MathML"><semantics><mrow><mn>8</mn><mi mathvariant="normal">%</mi></mrow><annotation encoding="application/x-tex">8\%</annotation></semantics></math></span><span class="katex-html" aria-hidden="true"><span class="base"><span class="strut" style="height:0.8056em;vertical-align:-0.0556em;"></span><span class="mord">8%</span></span></span></span></span> per annum and time is <span class="math-inline" data-latex-source="3" data-display-mode="false" contenteditable="false"><span class="katex"><span class="katex-mathml"><math xmlns="http://www.w3.org/1998/Math/MathML"><semantics><mrow><mn>3</mn></mrow><annotation encoding="application/x-tex">3</annotation></semantics></math></span><span class="katex-html" aria-hidden="true"><span class="base"><span class="strut" style="height:0.6444em;"></span><span class="mord">3</span></span></span></span></span> years. Choose the standard data-sufficiency option.
Practice this question from Chapter Mock 16: Data Sufficiency, with options and an explanation.
Question
What is the simple interest?
Statement I: Principal is Rs. <span class="math-inline" data-latex-source="5000" data-display-mode="false" contenteditable="false"><span class="katex"><span class="katex-mathml"><math xmlns="http://www.w3.org/1998/Math/MathML"><semantics><mrow><mn>5000</mn></mrow><annotation encoding="application/x-tex">5000</annotation></semantics></math></span><span class="katex-html" aria-hidden="true"><span class="base"><span class="strut" style="height:0.6444em;"></span><span class="mord">5000</span></span></span></span></span>.
Statement II: Rate is <span class="math-inline" data-latex-source="8\%" data-display-mode="false" contenteditable="false"><span class="katex"><span class="katex-mathml"><math xmlns="http://www.w3.org/1998/Math/MathML"><semantics><mrow><mn>8</mn><mi mathvariant="normal">%</mi></mrow><annotation encoding="application/x-tex">8\%</annotation></semantics></math></span><span class="katex-html" aria-hidden="true"><span class="base"><span class="strut" style="height:0.8056em;vertical-align:-0.0556em;"></span><span class="mord">8%</span></span></span></span></span> per annum and time is <span class="math-inline" data-latex-source="3" data-display-mode="false" contenteditable="false"><span class="katex"><span class="katex-mathml"><math xmlns="http://www.w3.org/1998/Math/MathML"><semantics><mrow><mn>3</mn></mrow><annotation encoding="application/x-tex">3</annotation></semantics></math></span><span class="katex-html" aria-hidden="true"><span class="base"><span class="strut" style="height:0.6444em;"></span><span class="mord">3</span></span></span></span></span> years.
Choose the standard data-sufficiency option.
Option A
A
Option B
B
Option C — Correct answer
C
Correct choice.
Option D
D
Option E
E
Explanation
Statement I alone is insufficient because rate and time are missing. Statement II alone is insufficient because principal is missing. Together, simple interest $=\frac{5000\times8\times3}{100}=1200$. So the answer is C.