Multiple choice

In what time will Rs. 8000, at 3% per annum, produce the same interest as Rs. 6000 does in 5 years at 4% simple interest?

  1. 5 years

  2. 6 years

  3. 3 years

  4. 4 years
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Interest = (P * R * T) / 100. Interest for second case = (6000 * 4 * 5) / 100 = 1200. For the first case, 1200 = (8000 * 3 * T) / 100. 1200 = 240 * T, so T = 5 years.

AI explanation

First, calculate the simple interest generated by Rs. 6000 using the formula SI = (P * R * T)/100, which gives (6000 * 4 * 5)/100 = Rs. 1200. Let the time required for Rs. 8000 to generate this same interest be t years; setting up the equation (8000 * 3 * t)/100 = 1200 gives 240t = 1200. Solving this yields t = 5 years.

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