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The error is in part 2. The correct phrase should be "has increased" because "The number of" is considered singular and requires a singular verb.
A certain sum of money becomes Rs. 1300 in 1 year and 2700 in 3 years at certain rate of simple interest. Find the sum of money invested.
A sum of money doubles itself in 8 years at simple interest. In how many years will it become four times itself at the same rate of interest?