Multiple choice

Simple interest on a certain sum at a certain annual rate of interest is 16% of the sum. If the numbers representing rate percent and time in years be equal, then the rate of interest is एक निश्चित धनराशि पर किसी निश्चित ब्याज की वार्षिक दर पर साधारण ब्याज राशि का 16% है । यदि दर प्रतिशत और वर्षों में समय को प्रदर्शित करने वाली संख्या राशियाँ बराबर हैं, तो ब्याज दर है

  1. 4%

  2. 6%

  3. 4.5%

  4. 6.5%
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Let rate = R% and time = T years. Given rate = time, so R = T. Simple Interest = Principal × R × T / 100 = P × R × R / 100. Also given: SI = 16% of Principal = 0.16P. So P × R² / 100 = 0.16P, giving R² = 16. Therefore R = 4% (rate cannot be negative). Verification: 4% rate for 4 years gives SI = P × 4 × 4 / 100 = 16% of P.

Keep practicing — related questions