Question

John earned Rs. $100$ as simple interest on Rs. $600$ for $6$ months. Find the annual rate of interest.

• A. $11.11\%$
• B. $22.22\%$
• C. $33.33\%$
• D. $44.44\%$

Answer 1

The correct option is C $33.33\%$

Given, Simple interest $=$ Rs. $100$, Principal $=$ Rs. $600$ and period $6$ months

We know the formula,
Rate of interest, $R=$ $\frac{I\times 100}{PT}$
$R=$ $\frac{100\times 100}{600\times 0.5}$
$R=33.33\%$

Therefore, the annual rate of interest is $33.33\%$.