In what time does a sum of money amount to twice of itself at simple interest of 10% per annum?
Answer & explanation
Correct answer: option 1
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