Vijay has ₹1224 with him. He divided it amongst his sons Ajay and Prakash and asked them to invest it at 4% rate of interest compounded annually. It was seen that Ajay and Prakash got same amount after 18 and 19 years respectively. How much (in ₹) did Vijay give to Prakash?
Show answer & explanation
Correct answer: C
Explanation
The correct answer is Option 3 i.e. 600.
Let the amount Vijay gave to Ajay = A
Then the amount given to Prakash = 1224 - A
Amount = Principal × (1 + R/100)T
Since both got the same amount:
A × (1.04)18 = (1224 - A) × (1.04)19
A = (1224 - A) × 1.04
A = 1273.92 - 1.04A
A + 1.04A = 1273.92
2.04A = 1273.92
A = 1273.92 ÷ 2.04 = 624
So, amount given to Prakash = 1224 - 624 = ₹600