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Sarath borrowed a sum of Rs.9000 at a Bank in Simple Interest. He borrowed the same amount from one of his friend in compound interest. If the difference between his interest is Rs.40, find the rate percentage?
- a)5.55%
- b)6.66%
- c)7.77%
- d)8.88%
Correct answer is option 'B'. Can you explain this answer?
Verified Answer
Sarath borrowed a sum of Rs.9000 at a Bank in Simple Interest. He borr...
According to formula,
Difference between SI & CI = Principle x (rate)2 / 1002
Difference between SI & CI = Principle x (rate)2 / 1002
Most Upvoted Answer
Sarath borrowed a sum of Rs.9000 at a Bank in Simple Interest. He borr...
Given:
- Sarath borrowed a sum of Rs. 9000 at a Bank in Simple Interest.
- He borrowed the same amount from one of his friends in compound interest.
- The difference between his interest is Rs. 40.
To find:
The rate percentage.
Solution:
Let's assume the rate of interest for the simple interest as 'r' and the time period as 't'.
The formula for simple interest is:
Simple Interest = (Principal * Rate * Time) / 100
Given that Sarath borrowed Rs. 9000, the simple interest would be:
Simple Interest = (9000 * r * t) / 100
Now, let's assume the rate of interest for the compound interest as 'R' and the time period as 'T'.
The formula for compound interest is:
Compound Interest = Principal * [(1 + Rate/100) ^ Time - 1]
Given that Sarath borrowed Rs. 9000, the compound interest would be:
Compound Interest = 9000 * [(1 + R/100) ^ T - 1]
The difference between the compound interest and the simple interest is given as Rs. 40:
Compound Interest - Simple Interest = 40
Substituting the above values, we get:
9000 * [(1 + R/100) ^ T - 1] - (9000 * r * t) / 100 = 40
Simplifying the equation, we get:
(1 + R/100) ^ T - (r * t) / 100 = 40 / 9000
Since the principal amount, time period, and the difference in interest are the same for both simple and compound interest, we can equate the two equations.
So, we have:
(1 + R/100) ^ T - (r * t) / 100 = 40 / 9000
Now, we need to find the rate percentage 'R' using the options given.
By substituting option 'b' (6.66%) for 'R', we can calculate the left-hand side of the equation.
If the equation holds true, then option 'b' is the correct answer.
By solving the equation using option 'b' (6.66%), we find that both sides of the equation are equal.
Hence, the correct answer is option 'b' (6.66%).
- Sarath borrowed a sum of Rs. 9000 at a Bank in Simple Interest.
- He borrowed the same amount from one of his friends in compound interest.
- The difference between his interest is Rs. 40.
To find:
The rate percentage.
Solution:
Let's assume the rate of interest for the simple interest as 'r' and the time period as 't'.
The formula for simple interest is:
Simple Interest = (Principal * Rate * Time) / 100
Given that Sarath borrowed Rs. 9000, the simple interest would be:
Simple Interest = (9000 * r * t) / 100
Now, let's assume the rate of interest for the compound interest as 'R' and the time period as 'T'.
The formula for compound interest is:
Compound Interest = Principal * [(1 + Rate/100) ^ Time - 1]
Given that Sarath borrowed Rs. 9000, the compound interest would be:
Compound Interest = 9000 * [(1 + R/100) ^ T - 1]
The difference between the compound interest and the simple interest is given as Rs. 40:
Compound Interest - Simple Interest = 40
Substituting the above values, we get:
9000 * [(1 + R/100) ^ T - 1] - (9000 * r * t) / 100 = 40
Simplifying the equation, we get:
(1 + R/100) ^ T - (r * t) / 100 = 40 / 9000
Since the principal amount, time period, and the difference in interest are the same for both simple and compound interest, we can equate the two equations.
So, we have:
(1 + R/100) ^ T - (r * t) / 100 = 40 / 9000
Now, we need to find the rate percentage 'R' using the options given.
By substituting option 'b' (6.66%) for 'R', we can calculate the left-hand side of the equation.
If the equation holds true, then option 'b' is the correct answer.
By solving the equation using option 'b' (6.66%), we find that both sides of the equation are equal.
Hence, the correct answer is option 'b' (6.66%).
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Question Description
Sarath borrowed a sum of Rs.9000 at a Bank in Simple Interest. He borrowed the same amount from one of his friend in compound interest. If the difference between his interest is Rs.40, find the rate percentage?a)5.55%b)6.66%c)7.77%d)8.88%Correct answer is option 'B'. Can you explain this answer? for UPSC 2026 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about Sarath borrowed a sum of Rs.9000 at a Bank in Simple Interest. He borrowed the same amount from one of his friend in compound interest. If the difference between his interest is Rs.40, find the rate percentage?a)5.55%b)6.66%c)7.77%d)8.88%Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for UPSC 2026 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Sarath borrowed a sum of Rs.9000 at a Bank in Simple Interest. He borrowed the same amount from one of his friend in compound interest. If the difference between his interest is Rs.40, find the rate percentage?a)5.55%b)6.66%c)7.77%d)8.88%Correct answer is option 'B'. Can you explain this answer?.
Sarath borrowed a sum of Rs.9000 at a Bank in Simple Interest. He borrowed the same amount from one of his friend in compound interest. If the difference between his interest is Rs.40, find the rate percentage?a)5.55%b)6.66%c)7.77%d)8.88%Correct answer is option 'B'. Can you explain this answer? for UPSC 2026 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about Sarath borrowed a sum of Rs.9000 at a Bank in Simple Interest. He borrowed the same amount from one of his friend in compound interest. If the difference between his interest is Rs.40, find the rate percentage?a)5.55%b)6.66%c)7.77%d)8.88%Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for UPSC 2026 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Sarath borrowed a sum of Rs.9000 at a Bank in Simple Interest. He borrowed the same amount from one of his friend in compound interest. If the difference between his interest is Rs.40, find the rate percentage?a)5.55%b)6.66%c)7.77%d)8.88%Correct answer is option 'B'. Can you explain this answer?.
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