Question
Vipul invests a sum of ₹5400 and Vijay invests a sum
of ₹9400 at the same rate of simple interest per annum. If, at the end of 5 years, Vijay gets ₹840 more interest than Vipul, then find the rate of interest per annum (in percentage).Solution
Vipul’s principal (P₁) = 5400 Vijay’s principal (P₂) = 9400 Time (T) = 5 years Difference in interest = 840 Simple Interest = P × R × T / 100 Difference in interest: (P₂ − P₁) × R × T / 100 = 840 (9400 − 5400) × R × 5 / 100 = 840 4000 × R × 5 / 100 = 840 200R = 840 R = 4.2
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