Answer :
Let’s assume Amal babu ‘s Principal was ‘p’
When the rate of simple interest was 4%
P = ‘P’, r = 4, t = 1 and I = ?
Since,
When the rate of simple rate is %
Using
According to question,
Annual income of Amal babu decreases by Rs. 60
⇒ P = Rs. 24000
Hence, Amal babu Principal was Rs. 24000
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