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A sum of money was invested in a monetary fund for 2 years at the rate of compound interest of 20% per annum. If interest had been compounded at the interval of 6 months , then the compound interest would be Rs. 482 more of the same principal at the same rate of interest. Find the sum of money invested. |
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Answer» Let the sum of the money invested be Rs. x Then for the first case the amount of Rs.x after 2 years `=Rs.x xx (1+20/100)^(2)` `=Rs.x xx(1+1/5)^(2)` `5^(2)` `=Rs.x xx(6/5)^(2)=Rs.(36x)/25` Also for the second case, the amount of Rs. x after 2 years, the amount `=Rs.x xx(1+(20/2)/100)^(2xx2)` `=Rs. x xx(1+1/10)^(4)=Rs.x xx(11/10)^(4)` As per question `(14641x)/10000-(36x)/25=482` `implies(14641x-14400x)/10000=482` `implies(241x)/1000-482` `impliesx=(482xx10000)/241` `impliesx=20000` Hence Rs. 20000 was invested. |
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