Question

if a sum of money amounts to 4/5th of the sum in 5 years . what is the rate of interest per annum​

Answer 1

Let the principal be x, Amount in 5 yrs = 5/4 * x = 5x/4

Therefore, SI = (Amount – Principal) = 5x/4 - x = x/4

SI = PRT/100

x/4 = x * R * 5 / 100

R = 5%