Question

A sum of 25000 become 27250 at the end of 3 years when calculated at simple interest. Find the rate of the interest

Answer 1

Step-by-step explanation:

principal = 25000

amount = 27250

simple interest = 27250 - 25000 = 2250

time = 3 yrs

SI = (P×R×T)/100 => R = (SI × 100)/(P×T)

R = (2250 × 100)/(25000 × 3)

R = 3%pa. (answer)