Arithmetic Ability
Compound Interest

112 / 134

Q.

Divide Rs. 1301 between A and B, so that the amount of A after 7 years is equal to the amount of B after 9 years, the interest being compounded at 4% per annum.

View Answer

Correct choice: A

Explanation:

Let the two parts be Rs. x and Rs. (1301 - x). x(1+4/100)7=(1301−x)(1+4/100)9 x/(1301−x)=(1+4/100)2=(26/25*25/26) => 625x=676(1301-x) 1301x=676 x 1301x=676. So,the parts are rs.676 and rs.(1301-676)i.e rs.676 and rs.625
112 / 134