Baban has two grandsons Rakesh and Shivam. 13 year old Rakesh gets some money from Baban’s wealth and 14 year old Shivam gets rest of the money. But Rakesh and Shivam will get money only when they turn 22 years old. Till then the money is in a bank getting interest at rate 5% compounded annually. When both turn 22, they receive the same amount. How much had Baban given Shivam (in ₹) initially, if total money with Baban was ₹24600?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 2 i.e. 12600
Let Rakesh’s share = x, Shivam’s = 24600 − x.
x(1.05)9=(24600−x)(1.05)8
x(1.05) = 24600−x
x = 12000
Shivam’s share = 24600 − 12000 = 12600