In a certain time, a sum of money becomes five itself if the rate of the interest is 16% p.a. Then the certain time (in years) is:

25

A sum of money becomes five itself if the rate of the interest is 16% p.a

Let initial sum of money = P . So , Amount = 5P

Now ,

Amount = Principal + Simple Interest

5P = P + Simple Interest

Simple Interest = 5P - P = 4P

We know ,

Simple Interest = \(\frac{Principal ×Rate × Time }{100}\)

4P = \(\frac{P × 16 × Time }{100}\)

4 = \(\frac{ 16 × Time }{100}\)

Time = 25 years