Multiple choice

Simple interest on Rs. $500$ for $4$ years at $6.25\%$ p.a. is equal to the simple interest on Rs. $400$ at $5\%$ p.a. for a certain period of time. The period time is

  1. $\;4$ years
  2. $\;5$ years
  3. $\;6\displaystyle\frac{1}{4}$ years
  4. $\;8\displaystyle\frac{2}{3}$ years
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The first simple interest is Rs. 125. For Rs. 400 at 5% per year, the interest is Rs. 20 per year, so the required time is 125/20 = 6.25 years.

AI explanation

The simple interest on Rs. 500 is (500 times 4 times 6.25) divided by 100, which equals Rs. 125. Setting this equal to the interest on Rs. 400, we have 125 equals (400 times 5 times time) divided by 100. Solving for the time gives 20 times time equals 125, so the time is 6.25 years.

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