Question

A certain sum of money amounts to Rs. 1008 in 2 years and to Rs. 1164 in $3\frac{1}{2}$ years. Find the rate of interest.

• A. 11%
• B. 12%
• C. 13%
• D. 14%

Answer 1

Answer: (C)

13%

S.I for 1.5 years=$1164-1008=156Rs$
S.I for 2 years=$156\times \frac{2}{3}\times 2=208Rs.$
Principal=$1008-208=800Rs.$
Then P=800,T=2 years,S.I=208
$\therefore Rateofinterest=\frac{208\times 100}{2\times 800}=13$