If the principal amount is Rs 50000 and the rate is 2% for 4 years then calculate the simple interest.

GIVEN:

Time = 4 years

Interest rates = 2% p.a.

Principal = Rs. 50,000

FORMULA USED:

SI = (PTR)/100

Where, P = Principal Amount

             R = Interest rate

             T = Time for which interest is applied on the amount

CALCULATION:

SI = (50000 × 2 × 4)/100

⇒ SI = 4000

The answer is 4000.