Question
A certain sum of money becomes seven times itself when
invested at a certain rate of simple interest, in 14 years. How much time (in years, rounded off to 2 decimal places) will it take to become 18 times itself at the same rate?Solution
Let the principal be P and the rate be R per annum. From the first condition: A =P + SI 7P = P + (P × R × 14)/100 6P = (P × R × 14)/100 R = 600/14 = 42.86 For the second condition: 18P = P + (P × 42.86 × T)/100 17P = (P × 42.86 × T)/100 T = 1700/42.86 ≈ 39.68 The required time is approximately 39.68 years.
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