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Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, is
Correct answer is '20808'. Can you explain this answer?
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Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interes...
“Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly.”
Total Amount of Anil’s investment after 6 years =
Let Sunil Invest a Principal of P.
“Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest.”
Total Amount of Sunil’s investment after 6 years =
…the amounts received by both at the end of 6 years are same…”
Therefore, Sunil’s investment is Rs. 20808
Let Sunil Invest a Principal of P.
“Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest.”
Total Amount of Sunil’s investment after 6 years =
…the amounts received by both at the end of 6 years are same…”
Therefore, Sunil’s investment is Rs. 20808
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Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interes...
Given Data:
Anil's investment: Rs. 22000
Anil's interest rate: 4% compounded half-yearly
Sunil's investment period: 5 years and 1 year
Sunil's simple interest rate: 10%
Amount received by both at the end of 6 years is the same
Calculating Anil's Amount:
Using the formula for compound interest, we can calculate the amount Anil receives at the end of 6 years:
Amount = P(1 + r/n)^(nt)
P = 22000, r = 4% = 0.04, n = 2 (compounded half-yearly), t = 6 years
Amount = 22000(1 + 0.04/2)^(2*6) = 22000(1.02)^12 ≈ Rs. 29240.64
Calculating Sunil's Amount:
Since Sunil reinvests the amount received for 1 year at 10% simple interest, the amount he receives at the end of 6 years can be calculated as:
Amount = Principal + Principal*Rate*Time
Let the initial investment made by Sunil be x
For the first 5 years: x(1 + 0.04/2)^(2*5) = x(1.02)^10
At the end of 5 years, Sunil receives x(1.02)^10
After reinvestment for 1 year: x(1.02)^10 + x(1.02)^10*0.10*1 = x(1.02)^10 + 0.102x(1.02)^10 = x(1.02)^10(1.102)
Given that this amount is equal to Anil's amount:
x(1.02)^10(1.102) = 29240.64
x = 29240.64 / (1.02)^10 * 1.102 ≈ Rs. 20808
Therefore, the initial investment made by Sunil is Rs. 20808.
Anil's investment: Rs. 22000
Anil's interest rate: 4% compounded half-yearly
Sunil's investment period: 5 years and 1 year
Sunil's simple interest rate: 10%
Amount received by both at the end of 6 years is the same
Calculating Anil's Amount:
Using the formula for compound interest, we can calculate the amount Anil receives at the end of 6 years:
Amount = P(1 + r/n)^(nt)
P = 22000, r = 4% = 0.04, n = 2 (compounded half-yearly), t = 6 years
Amount = 22000(1 + 0.04/2)^(2*6) = 22000(1.02)^12 ≈ Rs. 29240.64
Calculating Sunil's Amount:
Since Sunil reinvests the amount received for 1 year at 10% simple interest, the amount he receives at the end of 6 years can be calculated as:
Amount = Principal + Principal*Rate*Time
Let the initial investment made by Sunil be x
For the first 5 years: x(1 + 0.04/2)^(2*5) = x(1.02)^10
At the end of 5 years, Sunil receives x(1.02)^10
After reinvestment for 1 year: x(1.02)^10 + x(1.02)^10*0.10*1 = x(1.02)^10 + 0.102x(1.02)^10 = x(1.02)^10(1.102)
Given that this amount is equal to Anil's amount:
x(1.02)^10(1.102) = 29240.64
x = 29240.64 / (1.02)^10 * 1.102 ≈ Rs. 20808
Therefore, the initial investment made by Sunil is Rs. 20808.
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Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, isCorrect answer is '20808'. Can you explain this answer?
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Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, isCorrect answer is '20808'. Can you explain this answer? for CAT 2024 is part of CAT preparation. The Question and answers have been prepared according to the CAT exam syllabus. Information about Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, isCorrect answer is '20808'. Can you explain this answer? covers all topics & solutions for CAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, isCorrect answer is '20808'. Can you explain this answer?.
Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, isCorrect answer is '20808'. Can you explain this answer? for CAT 2024 is part of CAT preparation. The Question and answers have been prepared according to the CAT exam syllabus. Information about Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, isCorrect answer is '20808'. Can you explain this answer? covers all topics & solutions for CAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, isCorrect answer is '20808'. Can you explain this answer?.
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Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, isCorrect answer is '20808'. Can you explain this answer?, a detailed solution for Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, isCorrect answer is '20808'. Can you explain this answer? has been provided alongside types of Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, isCorrect answer is '20808'. Can you explain this answer? theory, EduRev gives you an
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