A sum becomes Rs $13200$ in one year at simple interest of $10\%$. The principal is:

Question

A sum becomes Rs $13200$ in one year at simple interest of $10\%$. The principal is:

Option A

Rs 11000

Option B — Correct answer

Rs 12000

Correct choice.

Option C

Rs 12500

Option D

Rs 13000

Explanation

One year at $10\%$ means amount $=110\%$ of principal. Principal $=13200\div1.1=12000$.

Chapter Mock 5: Simple Interest and Compound Interest