Question

The interest on a sum of money at the end of 2.5 years is 80% of the sum. What is the rate of interest? You can assume simple interest.

a) 32% b) 30% c) 36% d) 96%

Answer 1

Answer:

Option A is the right answer.

Step-by-step explanation:

S.I = pnr/100

Given S.I = 80P/100 = 8/10P = 4/5P

n = 2.5 , r = ?

4P/5 = (P×2.5×r)/100

4/5 = 2.5r/100

4 = 2.5r/20

80/2.5 = r

r = 32%