In how much time will a sum of Rs. 12500 amounts to Rs. 20000 at the rate of 8 percent per annum at simple interest?

7.5 years

By using formulas,

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

Amount = Principal + Interest

Now , Simple interest = 20000 - 12500 = 7500

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

7500 = \(\frac{12500× 8 × Time }{100}\)

Time = \(\frac{7500 × 100 }{ 12500 ×  8 }\)

= \(\frac{75 }{ 5 ×  2 }\)

= 7.5

Ans :- 7.5 years