Question
Rohit invested a certain amount at a simple interest
rate of r% per annum, which increased to 180% of the original amount over 5 years. If Rs. 2500 is invested at the same simple interest rate (r% p.a.) for 2 years, what will be the interest earned?Solution
Let the sum invested be Rs. 'P' Therefore, interest earned in 5 years = 1.8P - P = Rs. 0.8P ATQ; 0.8P = (P X r X 5) ÷ 100 Or, r = 80 ÷ 5 Or, r = 16 So, required interest earned = (2500 X 16 X 2) ÷ 100 = Rs. 800
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