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Bobby invested a certain sum of money at 8% p.a. simple interest for ‘n’ years. At the end of ‘n’ years, Bobby got back 4 times his original investment. What is the value of n?
  • a)
    50 years
  • b)
    25 years
  • c)
    12 years 6 months
  • d)
    37 years 5 months
Correct answer is option 'D'. Can you explain this answer?
Verified Answer
Bobby invested a certain sum of money at 8% p.a. simple interest for &...
Let us say Bobby invested Rs 100.
Then, at the end of ‘n’ years he would have got back Rs 400.
Therefore, the Simple Interest earned
= 400 – 100 = Rs 300.
Simple Interest = PRT/100
Substituting the values in the above equation of we get
300 = (100 × n × 8)/100
⇒ 8n = 300
⇒ n = 37.5 years.
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Bobby invested a certain sum of money at 8% p.a. simple interest for ‘n’ years. At the end of ‘n’ years, Bobby got back 4 times his original investment. What is the value of n?a)50 yearsb)25 yearsc)12 years 6 monthsd)37 years 5 monthsCorrect answer is option 'D'. Can you explain this answer?
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