Answer : 4 12% p.a. Explanation : Answer: D) 12% p.a. Explanation: If the interest earned is 25% more than the earlier interest then the rate of interest also should be 25% higher than the earlier rate. Let the earlier rate of interest be x%. Now it will be (x 3)% % increase = (x 3) - x/x * 100 = 25=

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