If X is invested in a bank at a rate of simple interest of y% p.a. for two years, then the interest ...
If X is invested in a bank at a rate of simple interest of y% p.a. for two years, then the interest earned is 900. if X is invested at y% p.a., for two years when the interest is compounded annually, the interest is 922.50. What is the value of X?
Answer/Solution
9000
Steps/Work
Simple way to solve this question is to use options.
From SI, we know that X*y=45,000.
Now, put the value of X = 9000, we will have y = 5%
To calculate CI,
Now, we know 1st year Amount= 9000+5% of 9000= 9450.
2nd year, Amount = 9450 + 5% of 9450 = 9922.50.
We can see after 2 years Interest = 9922.50-9000= 922.50. hence, it satisfies the question. Hence A is the correct answer
From SI, we know that X*y=45,000.
Now, put the value of X = 9000, we will have y = 5%
To calculate CI,
Now, we know 1st year Amount= 9000+5% of 9000= 9450.
2nd year, Amount = 9450 + 5% of 9450 = 9922.50.
We can see after 2 years Interest = 9922.50-9000= 922.50. hence, it satisfies the question. Hence A is the correct answer