College of Admission Tests Multan

Interest

Solve the question of and select the option from the choices A through D/E. Check your Answer and view the explanation.

Question: 7

If a sum of money doubles itself in 8 years at simple interest, the rate percent per annum is
  • 12
  • 12.5
  • 13
  • 13.5

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Correct Answer: B

Let sum = P then Simple Interest = P

Using Simple Interest formula: I = Prt

r = I P × t

r = P P × 8 × 100 = 12.5%