Calculate the simple interest on ₹1000 at 5% per annum for 2 years.

Explanation

To calculate simple interest, we use the formula: Simple Interest = (Principal * Rate * Time) / 100. Given Principal = Rs. 10000, Rate = 5%, Time = 2 years, Simple Interest = (10000 * 5 * 2) / 100 = Rs. 1000.


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