A sum of Rs. 1000 becomes Rs. 2210 when invested in a scheme of simple interest. If the annual rate of interest and the number of years for which the sum was invested are same, then what is the annual rate of interest?

Correct option is D

Given:

Principal = 1000
Amount = 2210
Simple Interest = 2210 - 1000 = 1210
Rate of Interest = Time = R
Formula Used:
Simple Interest =$$\frac{P \times R \times T}{100}$$​​
Solution:
​$$1210 = \frac{1000 \times R \times R}{100}\\ R^2 = \frac{1210}{10} = 121\\R = 11\%\\$$​​
Therefore, the annual rate of interest is 11%.