Multiple choice

Rs.12615 is divided between a sister and brother who are 12 and 10 years old respectively, in such a way that if their portions are invested at the rate of 5% per annum compound interest, they shall receive equal amounts on reaching 21 years of age. How much money does the sister get initially?

  1. Rs.6600

  2. Rs.6550

  3. Rs.6450

  4. Rs.6615

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Let amounts be P1 and P2. P1(1.05)^9 = P2(1.05)^11. P1 = P2(1.05)^2 = P2(1.1025). P1 + P2 = 12615. 2.1025*P2 = 12615. P2 = 6000. P1 = 12615 - 6000 = 6615.