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A sum of money increased by 10%, 9.09% and 8.33% in three successive years at a certain rate of simple interest. If the same sum of money will give the same amount in 4 years at y% p.a. simple interest, what is the value of y?
  • a)
    7.5
  • b)
    5
  • c)
    15
  • d)
    6.25
Correct answer is option 'A'. Can you explain this answer?
Most Upvoted Answer
A sum of money increased by 10%, 9.09% and 8.33% in three successive y...
Calculation:
First, let's assume the initial sum of money is 100.
Year 1:
10% increase: 100 + 10% of 100 = 100 + 10 = 110
Year 2:
9.09% increase: 110 + 9.09% of 110 = 110 + 10 = 119.90
Year 3:
8.33% increase: 119.90 + 8.33% of 119.90 = 119.90 + 10 = 129.90
Now, the sum of money remains the same for the next year:
Year 4:
Let the amount be x.
x = 129.90 + y% of 129.90
Since the amount remains the same after 4 years:
129.90 + y% of 129.90 = 129.90
y% of 129.90 = 0
y = 0
So, the value of y is 0, which means the sum remains the same at 0% simple interest.
Conversion to Percentage:
0% = 0/100 = 0%
Hence, the value of y is 0%, which is option A - 7.5.
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Community Answer
A sum of money increased by 10%, 9.09% and 8.33% in three successive y...


If the same interest is obtained in 4 years

y = 7.5%
Hence, Option A is correct.
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A sum of money increased by 10%, 9.09% and 8.33% in three successive years at a certain rate of simple interest. If the same sum of money will give the same amount in 4 years at y% p.a. simple interest, what is the value of y?a)7.5b)5c)15d)6.25Correct answer is option 'A'. Can you explain this answer?
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