Question

Mark (✓) against the correct answer
In how much time would the simple interest on a certain sum be 0.125 times the principal at 10% per annum?

(a) $1\frac{1}{4}$ years
(b) $1\frac{3}{4}$ years
(c) $2\frac{1}{4}$ years
(d) $2\frac{3}{4}$ years

Answer 1

(a) $1\frac{1}{4}\mathrm{years}$

$\begin{array}{l}\text{Rate=10\% per annum}\\ \text{Simple Interest=0}\text{.125 × Principal}\\ \text{=>}\frac{\text{Principal×Rate×Time}}{\text{100}}\text{=0}\text{.125×Principal}\\ \text{=>}\frac{\text{Time}}{\text{10}}\text{=0}\text{.125}\\ \text{=>Time=1}\text{.25=1}\frac{\text{1}}{\text{4}}\text{years}\\ \end{array}$