Test Index

BECE Mathematics 2017 Paper

© africaexams.com

Question : 12

Total: 40

A woman deposited an amount of GH₵ 50,000.00 at a bank for 2 years at a rate of 20% per annum. Find the simple interest.

GH₵ 1,000.00
GH₵ 2,000.00
GH₵ 10,000.00
GH₵ 20,000.00

Solution:

Concept:

Simple interest is calculated on the original principal using the formula:

\text{Simple Interest} = \frac{\text{Principal} \times \text{Rate} \times \text{Time}}{100}

Explanation:

Principal,

P = \text{GH₵ } 50{,}000.00

Rate,

R = 20\%

per annum

Time,

T = 2

years

Substitute these values into the formula:

\text{SI} = \frac{50{,}000 \times 20 \times 2}{100}

\text{SI} = \frac{50{,}000 \times 40}{100}

\text{SI} = \frac{2{,}000{,}000}{100}

\text{SI} = \text{GH₵ } 20{,}000.00

Answer:

D. GH₵ 20,000.00

© africaexams.com

Go to Question:

Prev Question

Next Question