Practicing Success

Target Exam

CUET

Subject

General Test

Chapter

Numerical Ability

Topic

Simple Interest

Question:

In what time does a sum of money amount to twice of itself at simple interest of 10% per annum?

Options:

10 years

5 years

15 years

12.5 years

Correct Answer:

10 years

Explanation:

Sum of money amount to twice of itself at simple interest of 10% per annum.

Let principal = P

Desired Amount = 2 × P = 2P

Simple interest = 2P - P = P

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

P = \(\frac{P × 10 × Time}{100}\)

Time = 10 years