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Rahul takes loan of Rs.25000 and repays an amount of Rs.31000 at the end of 2 years. What is the rate of simple interest at which he repays the loan?

A8%

B6%

C12%

D9%

Answer:

C. 12%

Read Explanation:

I = 31000 - 25000=6000 P = 25000 N=2 PNR/100 = 1 (25000 x 2 x R)/100 = 6000 R = (6000 x 100)/(25000 x 2) = 12%


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