given that simple interest on a certain sum of money is rs. 4016.25 at 9% per annum in 5 years. find the sum of money.
To find the sum of money, we can use the formula for calculating simple interest:
Simple Interest = (Principal × Rate × Time) / 100
Let’s substitute the given values into the formula:
4016.25 = (Principal × 9 × 5) / 100
Now, we can solve this equation for the principal amount:
4016.25 × 100 = Principal × 9 × 5
401625 = Principal × 45
To isolate the principal, we divide both sides of the equation by 45:
Principal = 401625 / 45
Principal = 8925
Therefore, the sum of money is rs. 8925.