1.  A sum of money lent out at simple interest amounts to ₹ 720 after 2 years and to ₹ 1020 after a further period of 5 years. The sum is :
A. ₹ 500
B. ₹ 600
C. ₹ 700
D. ₹ 710

Answer: Option B

Explanation:

S.I. for 5 years = ₹ (1020 - 720)

= ₹ 300.

S.I. for 2 years = ₹ (300/5 x 2)

= ₹ 120

∴ principal = ₹ (720 - 120)

= ₹ 600.