200 with SI ₹40 for 4 years.
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Given that ;
Principal ( P ) = Rs. 200
Simple Interest ( I ) = Rs. 40
Time ( T ) = 4 years
Rate of Interest ( R ) = ?
Formula :
I = P × R × T
40 = 200 × R × 4
40 = 800 × R
40 / 800 = R
1 / 20 = R
Hence ;
R = 0.05
or
In Percentage -
R = 1 / 20 × 100
R = 20%
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