Answer:
Rate of simple interest charge by bank is 9.125
Step-by-step explanation:
Given as :
The principal = Rs 8000
The amount paid = Rs 8640
The time period = 320 days
Let the rate of simple interest = R
So from simple interest method
Simple Interest = [tex]\frac{Principal\times rate\times Time}{100}[/tex]
∵, Interest = Amount - principal
Or, Interest = Rs 8640 - Rs 8000 = Rs 640
∴ Rs 640 = [tex]\frac{8000\times rate\times \frac{320}{365}}{100}[/tex]
Or, 64000 × 365 = 8000 × 320 × rate
Or 23360000 = 2560000 × rate
So, rate = [tex]\frac{23360000}{2560000}[/tex]
∴ Rate = 9.125
I.e rate of simple interest charge by bank is 9.125 Answer
