MAT · 2005 · Question 22 of 40

MAT 2005 MS Slot 1 Question 22

Answer it first: the answer and the solution appear right after.

Q22 MULTIPLE CHOICE

A person lent out a certain sum on simple interest and the same sum on compound interest at a certain rate of interest per annum. He noticed that the ratio between the difference of compound interest and simple interest of 3 years and that of 2 years is \(25 : 8\). The rate of interest per annum is