Had a certain sum been lent at 3% per annum more than the rate actually used, it would have earned ₹720 more in simple interest over 4 years. The sum (in ₹) is:

Question

Accepted Answer

6000. The extra interest depends only on the extra rate: P × (3/100) × 4 = 0.12P. So 0.12P = 720 → P = ₹6000. (Note that the actual rate never has to be known. Dividing ₹720 by 3% alone gives ₹24000 and drops the four years.)

Had a certain sum been lent at 3% per annum more than the rate actually used, it would have earned ₹720 more in simple interest over 4 years. The sum (in ₹) is:

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