Question

Simple interest on Rs. $500$ for $4$ years at $6.25\%$ p.a. is equal to the simple interest on Rs. $400$ at $5\%$ p.a. for a certain period of time. The period time is

• A. $4$ years
• B. $5$ years
• C. $6\frac{1}{4}$ years
• D. $8\frac{2}{3}$ years

Answer 1

The correct option is C $6\frac{1}{4}$ years

Let the required period of time be $t$ years.
Then according to the question, we have

$\Rightarrow \frac{500\times 4\times 6.25}{100}=\frac{400\times t\times 5}{100}$
$\Rightarrow t=\frac{500\times 4\times 6.25}{400\times 5}$ years
$\Rightarrow 6.25$ years or $6\frac{1}{4}$ years