A sum of ₹ x amounts to ₹8,563.50 in $3\frac{1}{2}$ years and to ₹10,527 in 7 years at y % p.a. simple interest. The value of x and y, respectively, are
Answer & explanation
Correct answer: option 3
SI of ( 7 - 3\(\frac{1 }{2 }\) ) years = 10527 - 8563.50
SI of \(\frac{7 }{2 }\) years = 1963.50
Si of 1 year = 1963.50 × \(\frac{2 }{7 }\) = 561
Now , Initial sum = 8563.50 - 1963.50 = 6600
Simple Interest = \(\frac{Principal ×Rate × Time }{100}\)
561 = \(\frac{6600 × Rate × 1 }{100}\)
Rate = 8.5 %
So , Initial sum = 6600 and Rate = 8.5%