From Statement I (PR²/4 (3+R/100))/(PR²/4) = 19/6 ⇒ (3+ R/100) = 19/6 ⇒ 3 + ( R)/100 = 19/6 ⇒ ( R)/100 = 19/6 - 3 ⇒ ( R)/100 = 1/6 ∴ R = 100/6 = 16 2/3 % per annum From statement II Rate = √((difference )/(principle )) × 100 Rate = √((72 )/(5000 ) ) × 100 = √((144 )/(10000 ) ) × 100 = 0.12×100 = 12% per annum
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