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The compound interest on a certain sum for two successive years are Rs.225 and Rs.238.50. The rate of interest per annum is

The compound interest on a certain sum for two successive years are Rs.225 and Rs.238.50. The rate of interest per annum is
1). $7\frac{1}{2}$%
2). 5%
3). 10%
4). 6%

This Question has 2 answers.

option 4 is the answer

Difference

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$\\large = 238.50 – 225$
$\\large = 13.50$
$\\large =$ S.I. on $\\large 225$ for $\\large 1$ year

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Rate $\\large = \\frac{S.I\\times100}{Principal × Time}$

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$\\large =\\frac{13.50\\times100}{225 ×1}$

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$\\large = 6%$ PER  ANNUM

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