Question

How much money did X invest?
I. An increase in the simple interest from $4\frac{7}{8}\%$ to $5\frac{1}{8}\%$ per annum increases his yearly income by Rs 25.
II. The sum invested gets doubled when invested at $8\%$ per annum for $12\frac{1}{2}$ yr.

• A. if the data in Statement I alone is sufficient to answer the question, while the data in Statement II alone is not sufficient to answer the question.
• B. if the data in Statement II alone is sufficient to answer the question, while the data in Statement I alone is not sufficinet to answer the question.
• C. if the data in both Statements I and II are required to answer the question
• D. if the data in both Statement I and II together are not sufficient to answer the question.

Answer 1

The correct option is A

if the data in Statement I alone is sufficient to answer the question, while the data in Statement II alone is not sufficient to answer the question.

From Statement I,
Increase rate of interest $=5\frac{1}{8}-4\frac{7}{8}=\frac{41}{8}-\frac{39}{8}=\frac{2}{8}=\frac{1}{4}$
Increased income = Rs 25
Now,let money invested be Rs x
Then, 25 = x$\times \frac{1}{4}\times \frac{1}{100}$
=> x = Rs.10000.
From Statement II,
Here, SI = Rs x, t $=12\frac{1}{2}=\frac{25}{2},\text{P = Rs.x, r=8}\%$
We cannot find x.