Question

in what time will the simple interest on rupees 400 at 100 10% per annum be the same as the simple interest on rupees 1000 for 4 years at 4% per annum

Answer 1

Simple interest accumulation factor :

Principle × rate × time

First scenario :

400 × 10/100 × Time = 40t

Second scenario : 1000 × 4 × 4/100

= 160

40t = 160

t = 160/40 = 4

4 years