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The simple interest on a sum for 5 years...

The simple interest on a sum for 5 years is `2/5` of the sum. The rate per cent per annum is

A

`10%`

B

`8%`

C

`6%`

D

`12.1/2%`

Text Solution

AI Generated Solution

The correct Answer is:
To solve the problem step by step, we will use the formula for Simple Interest (SI) and the information provided in the question. ### Step-by-Step Solution: 1. **Understand the Given Information**: - The simple interest (SI) for 5 years is \( \frac{2}{5} \) of the principal (P). - Time (T) = 5 years. 2. **Write the Formula for Simple Interest**: \[ SI = \frac{P \times T \times R}{100} \] where: - SI = Simple Interest - P = Principal - T = Time (in years) - R = Rate of interest per annum 3. **Substitute the Known Values into the Formula**: - We know that \( SI = \frac{2}{5} P \) and \( T = 5 \). - Substitute these values into the formula: \[ \frac{2}{5} P = \frac{P \times 5 \times R}{100} \] 4. **Cancel the Principal (P)**: - Since P is common on both sides, we can cancel it (assuming \( P \neq 0 \)): \[ \frac{2}{5} = \frac{5R}{100} \] 5. **Cross-Multiply to Solve for R**: - Cross-multiplying gives: \[ 2 \times 100 = 5R \times 5 \] \[ 200 = 25R \] 6. **Isolate R**: - Divide both sides by 25: \[ R = \frac{200}{25} \] \[ R = 8 \] 7. **Conclusion**: - The rate of interest per annum is \( R = 8\% \). ### Final Answer: The rate per cent per annum is **8%**. ---
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