Arithmeticmedium · Past Paper

The simple interest on a sum for 5 years is 1/4 of the principal. The rate is:

A4%
B5%
C6%
D8%

✓ Correct Answer: B5%

SI = P/4. P/4 = (P*5*R)/100 => 1/4 = R/20 => R = 5%.

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