Std 6 Mathematics · Chapter 17

17. Bank and Simple Interest

Solutions to Practice Set 17.1 and Exercise 17. Maharashtra State Board (Balbharati), Grade Six Mathematics.

About the chapter

We keep our money safely in a bank. The bank pays us extra money on it. This extra money is called interest. When we take a loan from a bank, we pay interest to the bank. In this chapter, we learn about principal, interest, amount and rate of interest.

Key points

The money deposited in a bank or taken as a loan is the principal.
The extra money paid on the principal is the interest.
Principal and interest together make the amount.
The interest on ₹100 for one year is the rate of interest.
6 p.c.p.a. means ₹6 interest on ₹100 for one year.

Formulas and terms

p.c.p.a. – percent per annum, that is, per hundred per year.
Amount = Principal + Interest
Interest = Amount − Principal
Interest for one year = Principal × Rate/100

Practice Set 17.1

1Complete the following activity.

Sr. No.	Principal	Interest	Amount
1	₹ 5,800	₹ 380	₹ 6,180
2	₹ 12,500	₹ 1,050	₹ 13,550
3	₹ 35,500	₹ 4,260	₹ 39,760

1) Amount = 5800 + 380 = ₹ 6,180
2) Principal = 13550 − 1050 = ₹ 12,500
3) Interest = 39760 − 35500 = ₹ 4,260

2If the principal is ₹8,000 and the interest is ₹640, then what will be the amount?

Amount = Principal + Interest
= 8000 + 640
= ₹ 8,640

The amount will be ₹ 8,640.

Exercise 17

1Choose the correct option.

i) If for one year period the principal is ₹24,500 and the interest is ₹1,830, then what will be the amount? — c) ₹ 26,330

Amount = Principal + Interest
= 24500 + 1830 = ₹ 26,330

ii) If Ruben deposits ₹42,000 in a bank for one year at the rate of 6 p.c.p.a., how much interest will he get? — d) ₹ 2,520

Interest = 42000 × 6/100 = 420 × 6 = ₹ 2,520

2If Shrushti keeps ₹35,000 in a bank at the rate of 8% per annum, how much interest will she get in one year?

Principal = ₹ 35,000, Rate = 8 p.c.p.a., Period = 1 year
Interest = 35000 × 8/100
= 350 × 8
= ₹ 2,800

Shrushti will get an interest of ₹ 2,800 in one year.

3If Pradeep deposits ₹48,380 at the rate of 6 p.c.p.a. in a bank for one year, how much interest will Pradeep get from the bank?

Interest = 48380 × 6/100
= 483.80 × 6
= ₹ 2,902.80

Pradeep will get an interest of ₹ 2,902.80 from the bank.

4Nancy took a loan of ₹18,650 at the rate of 10 p.c.p.a. from a bank to buy a sewing machine. Find the amount that Nancy will have to pay to the bank after one year?

Principal = ₹ 18,650, Rate = 10 p.c.p.a.
Interest = 18650 × 10/100 = ₹ 1,865
Amount = Principal + Interest
= 18650 + 1865 = ₹ 20,515

Nancy will have to pay ₹ 20,515 to the bank after one year.

5Mohanrao took a loan of ₹55,750 from a bank at the rate of 12 p.c.p.a. to build a water tank in his field. How much total amount will Mohanrao deposit to the bank to become debt-free after one year?

Principal = ₹ 55,750, Rate = 12 p.c.p.a.
Interest = 55750 × 12/100 = 557.50 × 12 = ₹ 6,690
Amount = Principal + Interest
= 55750 + 6690 = ₹ 62,440

Mohanrao will have to deposit ₹ 62,440 to become debt-free.

6If a loan of ₹1,30,000 is taken from a bank at the rate of 11 p.c.p.a. for one year to build a gymkhana for the families in the Sahvihar housing society, how much interest will the society have to pay to the bank in one year? Also, how much total amount will they have to pay to the bank?

The interest

Interest = 130000 × 11/100
= 1300 × 11
= ₹ 14,300

The total amount

Amount = Principal + Interest
= 130000 + 14300
= ₹ 1,44,300

The society will pay ₹ 14,300 as interest. It will pay a total amount of ₹ 1,44,300.

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