Discussion

At what rate percent of simple interest will a sum of money double itself in 12 years?

Answer: B

\[ \text{SI} = \frac{P \times R \times T}{100} \]

Doubling means the interest equals the principal.

\[ P = \frac{P \times R \times 12}{100} \quad\Longrightarrow\quad 100 = 12R \]

\[ R = \frac{25}{3} = 8\tfrac{1}{3}\% \]

The rule for doubling under simple interest is \( R = \tfrac{100}{T} \).

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