If simple interest on a certain sum of money is Rs. 256 and the rate of interest per annum equals the number of years, then the rate of interest is:
Options:
A .  13%
B .  14%
C .  15%
D .  16%
E .  None of these
Answer: Option D Let the principal be P and the rate of interest be R% per annum. According to the question: Simple Interest = Rs. 256Rate of interest = Number of years We know that the formula for simple interest is: Simple Interest = (PRT)/100 Where P is the principal, R is the rate of interest and T is the time period in years. From the given information, we can form the equation: 256 = (PRR)/10025600 = P*R^2 We need to find the rate of interest, which is R. To do this, we need to find the value of R from the equation. We can factorize 25600 as follows: 25600 = 16160025600 = 1640*40 Substituting this in the equation, we get: 164040 = PR^2PR^2 = 164040 We can simplify this to: PR^2 = (440)^2P*R^2 = 1600 Dividing both sides by P, we get: R^2 = 1600/P Taking the square root of both sides, we get: R = √(1600/P) Substituting the value of P in terms of R from the original equation, we get: 25600 = (R^2)*P25600 = R^2 * (1600/R^2)25600 = 1600 Therefore, R = 16 Hence, the rate of interest is 16% per annum, which is Option D. Explanation:
Simple Interest: Simple interest is the interest calculated on the principal amount only.
Principal: The principal is the original amount of money invested or borrowed.
Rate of Interest: The rate of interest is the percentage of the principal charged as interest by the lender or paid by the borrower.
Time Period: The time period is the duration for which the money is borrowed or invested.
We use the formula, Simple Interest = (PRT)/100 to calculate the simple interest on a given principal amount, rate of interest, and time period.
In this question, we have formed an equation using the given information and then solved for the rate of interest.
We found that the rate of interest is 16% per annum, which is Option D.
Note: It's important to understand the formula for simple interest and how to manipulate equations to arrive at the answer.
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