Discussion
Shamik had invested same amount of sums at simple as well as compound interest. The time period of both the sums was 2 years and rate of interest too was same 4% per annum. At the end, he found a difference of Rs. 50 in both the interests received. What were the sums invested?
Answer: D
\[ A = P\left(1 + \frac{R}{100}\right)^{n}, \qquad \text{CI} = A - P, \qquad \text{SI} = \frac{PRn}{100} \]
Over two years the gap between the two is exactly one year's interest on the first year's interest:
\[ \text{CI} - \text{SI} = P\left(\frac{R}{100}\right)^{2} \]
\[ 50 = P(0.04)^{2} = 0.0016P \]
\[ P = \frac{50}{0.0016} = \text{Rs. } 31{,}250 \]
Checking: SI = \( 31250 \times 0.08 = 2500 \); CI = \( 31250(1.0816 - 1) = 2550 \) - exactly Rs. 50 apart.
Post your comment
Please log in or register to post a comment.
Examination Categories
- SSC Exams
- Banking Exams
- Teaching Exams
- Civil Services Exams
- Railways Exams
- Engineering Recruitment Exams
- Defence Exams
- State Government Exams
- Police Exams
- Insurance Exams
- Nursing Exams
- Other Government Exams
- NRA CET
- PG Entrance Exams
- Campus Placement
- MBA Entrance Exams
- CUET and UG Entrance
- Judiciary Exams
- Regulatory Body Exams
- Software Development