Peter invested a certain sum of money in a simple interest bond whose value grew to $300 at the end of 3 years and to $ 400 at the end of another 5 years. What was the rate of interest in which he invested his sum?
Options.
A) 12%	B) 12.5%	C) 6.67%	D) 6.25%	E) 8.33%
Now After a time of 3years the principal P amounts to $300 and after a time of 8years ( question says after another 5years so 3+5) P becomes $400.   Formulating the above data   Amount (A1) at end of 3years   A1= P(1 + 3R/100) = 300   Amount (A2) at end of 8years   A2 = P(1 + 8R/100) = 400   Dividing A2 by A1 we get   (1 + 8R/100)/(1 + 3R/100) = 4/3   after cross multiplication we are left with 12R =100 which gives R = 8.33%   ANSW8.33%R:8.33%
<result>E</result>
Peter invested a certain sum of money in a simple interest bond whose value grew to $300 at the end of 3 years and to $ 400 at the end of another 5 years. What was the rate of interest in which he invested his sum?