If a sum of money doubles itself in 4 years at a certain rate, when will it become 16 time itself at the same rate of Simple Interest?
Let say, principal amount=P and rate of interest= r%.
According to question,
$$P\left(1+\frac{4r}{100}\right)=2P.$$
or,$$1+\frac{4r}{100}=2.$$
or,$$\frac{4r}{100}=1.$$
or,$$r=25.$$
Let say ,it become 16 times in x years.
So,
$$P\left(1+\frac{25x}{100}\right)=16P.$$
or,$$1+\frac{25x}{100}=16.$$
or,$$\frac{25x}{100}=15.$$
or,$$x=60.$$
D is correct choice.
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