In how many years will the simple interest on a sum of money be equal to the principal at rate of 
p.a?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e 8 years.
| Understanding | Application |
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Simple Interest = (Principal x Rate of interest x Time) / 100 12(2/4)% = 1/8 Given Principal = Interest Let pricipal is y. |
Interest = Principal x 1 x Time)/(8) y = y x 1 x Time/8 Time = 8 years
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