Q.If a principal amount doubles in 4 years, the annual interest rate will be – (a) 8% (b) 12\(\dfrac{1}{2}\)% (c) 15% (d) 10%
Answer: B
\(p = 100\) rupees, \(t = 8\) years, \(I = 100\) rupees.
\(∴ r = \cfrac{100 \times I}{p \times t} \% = \cfrac{100 \times 100}{100 \times 8} \%\)
\(= \cfrac{25}{2} \% = 12\cfrac{1}{2} \% \).
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