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At what rate will the interest on N400 increases to N24 i...

At what rate will the interest on N400 increases to N24 in 3 years reckoning in simple interest?

A.

3%

B.

2%

C.

5%

D.

4%

Correct answer is B

Using simple interest = P×T×R100,

where: P denoted principal = N400
T denotes time = 3 years
R denotes interest rate = ?

24 = 400×3×R100

24 x 100 = 400 x 3 x R

R = 24×100400×3

= 2%