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    The rate at which a sum becomes four times of itself in 12 years at simple interest will be:
    Question

    The rate at which a sum becomes four times of itself in 12 years at simple interest will be:

    A.

    20%

    B.

    25%

    C.

    35%

    D.

    30%

    Correct option is B

    Given: 
    Amount = 4 times principal
    Time = 12 years 
    Formula Used: 
    Simple interest(S.I) = Amount - Principal (P) 
    S.I = P×R×T100\frac{P \times R \times T}{100} 
    where P = principal, R = rate of interest, T = time
    Solution: 
    Let the principle be x.
    Sum become 4 times in 12 years,
    So, S.I = 4x - x = 3x 
    \therefore rate of interest = 25%​​​

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