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At what rate per cent annum will the sim...

At what rate per cent annum will the simple interset on a sum of money of `(2)/(5)` of the amount in 10 years ?

A

0.04

B

0.06

C

`5(2)/(3) %`

D

`6(2)/(3) %`

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AI Generated Solution

The correct Answer is:
To solve the problem step by step, we need to find the rate of interest per annum when the simple interest on a sum of money is \( \frac{2}{5} \) of the principal amount in 10 years. ### Step-by-Step Solution 1. **Understand the Given Information:** - Simple Interest (SI) = \( \frac{2}{5} \) of Principal (P) - Time (T) = 10 years - We need to find the Rate of Interest (R). 2. **Use the Simple Interest Formula:** The formula for Simple Interest is: \[ SI = \frac{P \times R \times T}{100} \] 3. **Substitute the Known Values:** We know that \( SI = \frac{2}{5}P \) and \( T = 10 \). Substituting these values into the formula gives: \[ \frac{2}{5}P = \frac{P \times R \times 10}{100} \] 4. **Simplify the Equation:** First, we can cancel \( P \) from both sides (assuming \( P \neq 0 \)): \[ \frac{2}{5} = \frac{R \times 10}{100} \] 5. **Cross-Multiply to Solve for R:** Rearranging the equation gives: \[ 2 \times 100 = 5 \times R \times 10 \] \[ 200 = 50R \] 6. **Divide to Find R:** Now, divide both sides by 50: \[ R = \frac{200}{50} = 4 \] 7. **Convert to Percentage:** Since R is already in percentage form, we conclude that: \[ R = 4\% \] ### Final Answer: The rate of interest per annum is **4%**.
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