Question
Mr. Shiva invested equal amount of money in two private
firms which gives 15% simple interest per annum for 3.5 years and 5 years respectively. If the difference in their interests is Rs. 315. The amount invested by Mr. Shiva in each firm is:Solution
Let’s assume he invested Rs. x each in both firms. We know that Simple interest = (P × R × T)/100 Where, P = principal, R = % rate of interest, T = time in years For both investments, P = x, R = 15 T = 3.5 for first investment and T = 5 for second investment. According to question, => [(x × 15 × 5)/100] - [ (x × 15 × 3.5)/100] = 315 => [(30x - 21x )/40] = 315 ⇒ x = 315 × (40/9) = 1400 ∴ He invested Rs. 1400 in each firm.
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