Question
If a certain sum becomes 5 times of itself in 2 years
when invested at certain rate (per annum) of simple interest, then find the rate of interest.Solution
Let the sum invested be Rs. 'x' and rate of interest be r% p.a. Therefore, amount received = Rs. 5x Interest received = 5x - x = Rs. 4x Therefore, {(x X 2 X r)/100} = 4x Or, r = 200 Therefore, required rate of interest = 200% p.a.
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