Question

(0) 12.7%
(d) 15%
A building worth Rs. 1,33,100 is constructed on land worth Rs. 72,900. After how many
years will the value of both be the same if land appreciates at 10% p.a. and building
depreciates at 10% p.a.​

Answer 1

Let the required time be n years

Then,

72900 × (1 + 10/100)^n

= 133100 × (1−10/100)^n

= (11/10)^n × (10/9)^n = 133100/72900

=(11/9)^n = 1331/729

= (11/9)^n = (11/9)^3

So, Comparing both the sides,

We get,

n = 3