Multiple choice

Kush invested a certain sum of money at a certain rate of interest after 6 year he receive Rs.12000 as simple interest. If Kush double his investment in every 2 years then what will be the interest get at the end of 6 years?(in Rs)

  1. 20000

  2. 24000

  3. 28000

  4. 32000

  5. 16000
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Let P be the initial principal and r the annual interest rate. From the first statement: SI at 6 years = Pr × 6 = 12000, so Pr = 2000. If investment doubles every 2 years, the principals are: years 0-2: P, years 2-4: 2P, years 4-6: 4P. Total SI = Pr + 2Pr + 4Pr = 7Pr = 7 × 2000 = 28000.

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