What principal will earn ₹1,500 as simple interest in 1 year 3 months at 8% per annum?

Explanation

1. 01

   1 year 3 months = $1\frac{3}{12} = \frac{5}{4}$ years.

2. 02

   $P = \frac{1500 \times 100}{8 \times \frac{5}{4}} = \frac{150000}{10} = 15000$.

3. 03

   The principal is ₹15,000.