An entrepreneur secures a commercial loan of Rs. 24,000 at a simple interest rate of 8% per annum for a duration of 5 years. What is the total interest amount to be paid at the end of this tenure?

The correct option is Rs. 9,600.

Given Data:
Principal amount (P) = Rs. 24,000
Simple interest rate (R) = 8% per annum
Time duration (T) = 5 years

Formula:
The total simple interest is calculated using the standard formula:

$\text{Simple Interest (SI)}=\frac{P\times R\times T}{100}$

Step-by-Step Calculation:
Substitute the given values into the simple interest formula:

$\text{SI}=\frac{24000\times 8\times 5}{100}$

Multiply the rate and time period together:

$\text{SI}=\frac{24000\times 40}{100}$

Simplify the expression by dividing 24,000 by 100:

$\text{SI}=240\times 40$

$\text{SI}=9600$

Thus, the total interest amount to be paid at the end of 5 years is Rs. 9,600.