At simple interest, a sum becomes three times itself in 10 years. What is the rate of interest per annum?
A. 15%
B. 20%
C. 25%
D. 30%
A. 15%
B. 20%
C. 25%
D. 30%
Best answer
Answer: B. 20%
Answer: (B) 20%
Three times means the interest is 2 × P, i.e. 200% in 10 years. Rate = 200 ÷ 10 = 20%.
Trap: 30% uses 300% instead of the 200% interest.
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