Question

If a certain amount of money doubles in 5 years, the rate of interest p.c.p.a.
is
A) 5 (B) 10 (C) 25 (D) 20
​

Answer 1

Answer:

HERE IS YOUR ANSWER

Step-by-step explanation:

◆ Answer -

Rate of interest = 20 p.c.p.a.

● Explanation -

Let P be amount of money invested and r be rate of interest.

Total = P × (100+r×t)/100

Given that certain amount of money doubles in 5 years.

2P = P × (100+5r)/100

2 = (100+5r)/100

200 = 100 + 5r

5r = 200 - 100

5r = 100

r = 100/5

r = 20 %

Hence, rate of interest is 20 p.c.p.a.