Answer: The time it takes for a sum of money to amount to a certain amount at a certain interest rate can be calculated using the following formula:
Time = (100 x (Amount - Principal)) / (Principal x Rate)
In this case, the principal is Rs. 2000, the amount is Rs. 2240, and the rate is 4%. Therefore, the time is:
Time = (100 x (2240 - 2000)) / (2000 x 4) = 3 years
Therefore, it will take 3 years for Rs. 2000 to amount to Rs. 2240 at 4% simple interest.
Explanation: