Question
An investment becomes 175% of the principal in 60 months at
simple interest rate of ‘r%’ p.a. Find the rate of interest ‘r’.Solution
ATQ,
Let the principal be Rs. ‘P’.
ATQ,
1.75P – P = (P × 60 × r)/(12 × 100)
Or, 0.75P = Pr/20
Or, r = 15.
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