Rs. 800 amounts to Rs. 920 in 3 years at simple interest .If the interest rate in increased by 3% it would amount to -

First find the original rate: Simple interest = 920 - 800 = 120 over 3 years, so annual interest = 40. Rate = (40/800) × 100 = 5% per annum. If rate increases by 3%, new rate = 8%. New interest for 3 years = 800 × 0.08 × 3 = 192. New amount = 800 + 192 = 992. The key is finding the original rate first, then applying the increased rate.