PRC-2 · Chapter 2 · Question 38 of 45
How long will it take for a sum to double itself at 10% Simple Interest per annum?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) 10 years
Explanation
For doubling, I must equal P. So, P = P × 0.10 × n -> 1 = 0.10n -> n = 10 years.
More Coordinate System and Its Application MCQs
- Q40If you invest Rs. 1,000 at 5% interest compounded annually for 2 years, what is the Future Value (FV)?
- Q41What is 'Depreciation' in a financial context?
- Q42An investment produces Rs. 5,000 every year forever. This type of cash flow is called a/an:
- Q43In the 'Reducing Balance' method of depreciation, more depreciation is charged in:
- Q44What is the standard formula for the Future Value of an Ordinary Annuity (FVAn)?