Question

If a certain sum of money amounts to $\frac{7}{4}$th of itself in three years, the rate percent per annum is:

• A. 40%
• B. 35%
• C. 30%
• D. 25%

Answer 1

The correct option is D 25%

Let the principal be p.
So, Amount $=\frac{7}{4}p$
Therefore, SI = Amount - Principal $=\frac{7}{4}p-p=\frac{3}{4}p$

Given:
Time = 3 years
By formula,
$R=\frac{SI\times 100}{Time\times Principal}$
$R=\frac{\frac{3}{4}p\times 100}{3\times p}=\frac{100}{4}$% = 25%