Question

A certain sum of money when deposited at simple interest it trebles itself in 12 years at what rate of interest is the money deposited ANSWER 50/3%

Answer 1

Answer:

The answer of (50/3) per cent per year is correct. Please see the explanation.

Step-by-step explanation:

P = initial amount

R = rate of interest per cent per year

T = time period in years

A = final amount at the end of T years

SI = simple interest

SI = (P*R*T)/100

A = P + SI

We want to find R such that A = 3P when T = 12

(Amount trebles itself => Final amount is thrice the initial amount)

A = P + SI

=> 3P = P + SI

=> 2P = SI

=> 2P = (P*R*T)/100

=> 2 = R*T/100

=> R*T = 200

Now, T = 12

=> R*12 = 200

=> R = 200/12

=> R = 50/3

The required rate of interest is (50/3) per cent per year