If the simple interest for 6 yrs be equal to 30 % of the principal, it will be equal to the principal after how much time?
Answer & explanation
Correct answer: option 3
6 years simple interest is equal to 30% i.e. 1 year simple interest is equal to 5%.
Thus, for simple interest to be equal to 100% i.e. principal amount it will take \(\frac{100}{5 }\) = 20 years