Question

In what time will the interest on a certain sum of money at 7.5% simple interest be $\frac{3}{4}$ of itself?

• A. 12 years
• B. 8 years
• C. 10 years
• D. 14 years

Answer 1

The correct option is C

10 years

Let the Principal be $x$

SI = $\frac{P\times R\times T}{100}$

= $\frac{x\times 7.5\times T}{100}$

$\Rightarrow$ $\frac{3}{4}x$ = $\frac{x\times 7.5\times T}{100}$

Cancelling $x$ on both sides of the equation we get,

$T$ = $\frac{3\times 100}{7.5\times 4}$

$\Rightarrow$ $T$ = 10 years