Question

The rate of interest and the term of investment in years for a certain sum are equal. The simple interest is one-fourth of the investment. Calculate the rate of interest

• A. 7%
• B. 10/4%
• C. 5%
• D. 6%
• E. 10%

Answer 1

The correct option is C

5%

$R$ = $T$ & $SI$ = $\frac{P}{4}$

$\frac{P\times R\times R}{100}=\frac{P}{4}$

$R=5\%$