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If the sum of amount becomes 7 times in 20 years then find the rate of simple interest.1. 25%2. 20%3. 30%4. 15% |
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Answer» Correct Answer - Option 3 : 30% Given: A sum of amount becomes 7 times in 20 years at simple interest Formula used: S.I = PRT/100 Amount = Principal + S.I Calculation: Let the principal be Rs. x Amount = Rs. 7x S.I = Rs. (7x – x) ⇒ Rs. 6x Now, according to the question (x × R × 20)/100 = 6x ⇒ R = 6 × 5% ⇒ 30% ∴ The rate of simple interest is 30% |
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