Answer: 3 years
Step-by-step explanation:
Interest is calculated as:
= (P × R × T) / 100
where
P = principal = 150,000
R = rate = 2.5%.
I = interest = 11250
T = time = unknown.
I = (P × R × T) / 100
11250 = (150000 × 2.5 × T)/100
Cross multiply
1125000 = 375000T
T = 1125000/375000
T = 3
The time taken will be 3 years
