Find the interest, if $P=550, t=2\frac{1}{2}, r=4$%.
Given:
Principal $= Rs. 550$
Time $= 2\frac{1}{2} years = \frac{5}{2} years$
Rate of interest $= 4$%
To do :
We have to find interest.
Solution :
We know that,
Simple interest (SI) $= \frac{PTR}{100}$
where P is the principal, T is time and R is the rate of interest.
Therefore,
$SI = Rs. 550\times \frac{5}{2} \times \frac{4}{100}$
$= Rs. 550\times \frac{20}{200}$
$= Rs. \frac{550}{10}$
$= Rs. 55$.
Therefore, interest is Rs.55.
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