Rs. 875 becomes Rs. 956 in 3 years at a certain rate of simple interest.If the rate of interest is increased by 4% ,What amount will Rs. 875 become in 3 years ?	Choose the correct choice from the following answers:
A) rs . 1020.80
B) rs . 1025
C) rs . 1061
D) data inadequate
E) none of these

Rationale: "solution s . i . = rs . ( 956 - 875 ) = rs . 81 rate = ( 100 x 81 / 875 x 3 ) = 108 / 35 % new rate = ( 108 / 35 + 4 ) % = 248 / 35 % new s . i . = rs . ( 875 x 248 / 35 x 3 / 100 ) rs . 186 . ∴ new amount = rs . ( 875 + 186 ) = rs . 1061 . answer c"
Answer: C