Anand has ₹1218 with him. He divided it amongst his sons Anil and Ashok and asked them to invest it at 10% rate of interest compounded annually. It was seen that Anil and Ashok got same amount after 15 and 16 years respectively. How much (in ₹) did Anand give to Ashok?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. 580 .
Let amount given to Anil = A and Ashok = B
Rate = 10%
Amount of Anil after 15 years = A × (1.1)15
Amount of Ashok after 16 years = B × (1.1)16
Given both amounts are same
A × (1.1)15 = B × (1.1)16
A = B × 1.1
A + B = 1218
1.1B + B = 1218
2.1B = 1218
B = 1218 ÷ 2.1
B = (1218 × 10) ÷ 21 = 12180 ÷ 21 = 580