Question

A page from the savings bank account of Mr. Prateek if given below. 

Date	Particulars	Withdrawals (In Rs)	Deposits (In Rs)	Balance (In Rs)
January 1st 2006	B/F	-	-	1,270
January 7th 2006	By Cheque	-	2,310	3,580
March 9th 2006	To self	2,000	-	1,580
March 26th 2006	By cash	-	6,200	7,780
June 10th 2006	To Cheque	4,500	-	3,280
July 15th 2006	By clearing	-	2,630	5,910
October 18th 2006	To Cheque	530	-	5,380
October 27th 2006	To self	2,690	-	2,690
November 3rd 2006	By cash	-	1,500	4,190
December 6th 2006	To cheque	950	-	3,240
December 23rd 2006	By Transfer	-	2,920	6,160

If h receives Rs. 198 as interest on 1st January, 2007, Find the rate of interest paid by the bank.

Answer 1

Principle for the month of Jan = Rs. 3,580
Principle for the month of Feb = Rs. 3,580
Principle for the month of march = Rs. 1,580
Principle for the month of April = Rs. 7,780
Principle for the month of May = Rs. 7,780
Principle for the month of June = Rs. 3,280
Principle for the month of July = Rs. 3,280
Principle for the month of Aug = Rs. 5,910
Principle for the month of Sept = Rs. 5,910
Principle for the month of Oct = Rs. 2,690
Principle for the month of Nov = Rs. 4,190
Principle for the month of Dec = Rs. 3,240
Total Equivalent principle for 1 month = Rs. 52,800

∴ Rate% =` (I xx100) /(PxxT) % = (198xx100xx12)/(52,800xx1) %= 4.5%`