Nitin has ₹1224 with him. He divided it amongst his sons Pravin and Rishi and asked them to invest it at 4% rate of interest compounded annually. It was seen that Pravin and Rishi got same amount after 14 and 15 years respectively. How much (in ₹) did Nitin give to Rishi?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. 600.
Let Pravin’s share = P, Rishi’s share = R
P + R = 1224
Amount after 14 years for Pravin = P × (1 + 4/100)14
Amount after 15 years for Rishi = R × (1 + 4/100)15
Given they got the same amount:
P × (1 + 4/100)14 = R × (1 + 4/100)15
⇒ P ÷ R = 1.04
⇒ P = 1.04 R
⇒ 1.04 R + R = 1224
⇒ 2.04 R = 1224
⇒ R = 1224 ÷ 2.04 = 600