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Question : In how much time will the simple interest on a certain sum of money be $\frac{6}{5}$th times of the sum at 20% per annum?

Option 1: 7 years

Option 2: 8 years

Option 3: 5 years

Option 4: 6 years


Team Careers360 10th Jan, 2024
Answer (1)
Team Careers360 23rd Jan, 2024

Correct Answer: 6 years


Solution : Given that,
Simple interest = $\frac{6}{5}×$ Principal
Rate = 20% per annum
Simple interest $=\frac{\text{Principal × Rate × Time}}{100}$
⇒ $\frac{6}{5}× \text{Principal}= \frac{\text{Principal × 20 × Time}}{100}$
$\therefore$ Time $= 6$ years
Hence, the correct answer is 6 years.

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