What is the least number of complete years in which a sum of money, invested at 20% compound interest annually, will more than double?
Answer: 4 years
Explanation
Let the principal = ₹100
Rate = 20% per annum, compounded annually
Now calculate the amount over the years:
After 1 year: 100 × 1.20 = ₹120
After 2 years: 120 × 1.20 = ₹144
After 3 years: 144 × 1.20 = ₹172.80
After 4 years: 172.80 × 1.20 = ₹207.36
So, the amount just exceeds double (₹200) after 4 years.
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