Answer: B
Let’s assume the principal \((p) = x\) amount of money.
\(\therefore\) Total interest \((I) = \cfrac{x}{4}\) amount of money.
Time \((t) = 2\) years.
\(\therefore\) Interest rate \((r) = \cfrac{100\times I}{pt}\%\)
\(=\cfrac{100\times \cfrac{x}{4}}{x\times 2} \%\)
\(=\cfrac{25}{2}\%=12.5\%\)
Let’s assume the principal \((p) = x\) amount of money.
\(\therefore\) Total interest \((I) = \cfrac{x}{4}\) amount of money.
Time \((t) = 2\) years.
\(\therefore\) Interest rate \((r) = \cfrac{100\times I}{pt}\%\)
\(=\cfrac{100\times \cfrac{x}{4}}{x\times 2} \%\)
\(=\cfrac{25}{2}\%=12.5\%\)