Multiple choice

Harvir invested Rs. x at simple interest for 3 years at the rate of R% per annum and got an interest of Rs. 4,410. If Rs. x are invested at compound interest for 3 years at the rate of 10% per annum then the interest will be Rs. 6,951. What is the value of R? (I) 6 > R > 5 (ii) 7 > R > 5 (iii) 8 > R > 6 (iv) 9 > R > 7 (v) 10 > R > 9

  1. Only (i)

  2. Only (ii)

  3. Only (iii)

  4. Only (iv)

  5. only (v)
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Simple interest: 4410 = x * R * 3 / 100, so xR = 147000. Compound interest: 6951 = x * ((1.1)^3 - 1) = x * 0.331. x = 6951 / 0.331 = 21000. R = 147000 / 21000 = 7. The range 8 > R > 6 includes 7.

AI explanation

First, find the principal x using the compound interest data where 10% interest for 3 years on x equals 6951; this means x times 0.331 equals 6951, so x equals 21000. Using the simple interest formula, (21000 times R times 3) divided by 100 equals 4410. Solving this gives 44100 divided by 21000, which means R equals 7. Testing this against the ranges shows only (iii) 8 > R > 6 correctly fits.

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