Explanation:

To solve this problem, we need to understand both compound interest and simple interest.

- Compound Interest Calculation:

- The principal amount is Rs 7500.

- The amount after a certain time at 10% interest compounded yearly is Rs 9075.

- To find the time, use the compound interest formula: A = P(1 + r/100)^n, where A is the amount, P is the principal, r is the rate, and n is the time.

- Solving for n, we have 9075 = 7500(1 + 10/100)^n.

- This simplifies to (1.1)^n = 1.21, which means n = 2 years.

- Simple Interest Calculation:

- The simple interest formula is SI = (P × r × t) / 100.

- Using P = 7500, r = 10, and t = 2, we find SI = (7500 × 10 × 2) / 100 = 1500.

- Therefore, the correct answer is Option 1: 1500.

Your original choice was option 1 - 1500.

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