General Aptitude TestNumerical AbilityCompound & Simple Interest

Rs.9478 is invested in two parts at the rate of 8% per annum compound…

Rs.9478 is invested in two parts at the rate of 8% per annum compounded annually for 8 years and 6 years respectively. If amount received on both investments is equal, then find the difference between both investments.

Answer & explanation

Correct answer: option 2

Let amount invested for 8 years is P₁ & amount invested for 6 years is P₂.

ATQ,

⇒ P₁ (1+ \(\frac{8}{100}\))⁸ = P₂(1+ \(\frac{8}{100}\))⁶

⇒ P₁ (1+ \(\frac{8}{100}\))² = P₂

⇒ P₁ (\(\frac{27}{25}\))² = P₂

⇒ P₁ (\(\frac{729}{625}\)) = P₂

⇒ P_{1 :}P₂ = 625 : 729 → 1354 (Total)

Here,

⇒ 1354 R = 9478

⇒ 1R = 7

Hence, Difference of parts = (729 - 625)R = 104R = 104 x 7 = 728