Railways PYQCBT 1 2020

RRB NTPC · Question 22

Anil Kumar took a loan of 24,000 with simple interest for as many years as the rate of interest. If he paid Rs.19,440 as interest at the end of the loan period, what was the rate of interest?

  1. 8%

  2. 8.5%

  3. 10%

  4. 9%

Show answer & explanation

Answer: (D) 9%

Explanation

With rate r% for r years: 24000 × r × r/100 = 19440, so r² = 81 and r = 9%.