Question

The simple interest earned on a certain amount is double the money when invested for 15 years. What interest rate is offered? (a) 26.66% (b) 12% (c) 30% (d) 13.33%

Answer 1

Answer:

Step-by-step explanation:

To get double interest willbe100for principal of 100

Rate of interest=100/15=6.66% k

Answer 2

Answer:

The correct option is D. 13.33%

Step-by-step explanation:

Let principal be rs. p

Then simple interest after 15 years will be 2p

Now, Simple Interest = Principal × Rate × Time

⇒ 2p = p × Rate × 15

⇒ 2 =  Rate × 15

⇒ Rate × 15 = 2

⇒ Rate = 2/15

⇒ rate = 0.1333

So, rate of interest = 13.33%

Therefore, The correct option is D. 13.33%