Question

A man holds a savings bank account in the union bank of India. A page of his passbook shows the following entries:

Date	Particulars	Withdrawals (Rs)	Deposits (Rs)	Balance (Rs)
May 1	B/F			3,200.00
May 6	By Cheque		500.00	3,700.00
May 17	By Cheque		800.00	4,500.00
June 4	By Cash		1,300.00	5,800.00
June 9	To Cheque	1,650.00		4,150.00

Calculate the rate of interest per annum if the total interest earned for the months of May and June is Rs. 39.25`

Answer 1

Minimum balance for May = Rs. 3,700
Minimum balance for June = Rs. 4,150
Total principal= Rs7,850 

Interest = Rs. 39.25 and time =`1/12` year .

∴ Rate `(Ixx100)/(Pxxr) % (39,25 xx 100)/(7,850xx1/12) = 6%`