Question

Find the number of years in which an amount invested at 8% p.a. simple interest doubles itself.

• A. 12 years
• B. 11 years
• C. 12.5 years
• D. 13 years

Answer 1

Answer:

C. 12.5 years

Solution:

Given:

A certain sum of money becomes double at 8% p.a simple interest.

Let us assume the time taken by a Principle ( P ) is T years

Formula Used:

Simple Interest (S.I) = $\frac{(P\times{R}\times{T})}{100}$

Calculation:

⇒ As given The sum doubles itself

⇒ The S.I will be = 2P – P = P

⇒ From the above-given formula

⇒ $P = \frac{(P\times{8}\times{T})}{100}$

∴  T will be $\frac{100}{8} = 12.5 years$