Question

Riya invests money in three commodities for 4 years, 8 years and 10 years at 12%, 10%, 15% simple interest respectively, she receives same simple interest after the years mentioned. Calculate ratio of her investment.
1. 5 : 12 : 18
2. 15 : 25 : 8
3. 12 : 18 : 5
4. 25 : 15 : 8

Answer 1

Correct Answer - Option 4 : 25 : 15 : 8

Given:

R₁ = 12%, N₁ = 4 Years

R₂ = 10%, N₂ = 8 Years

R₃ = 15%, N₃ = 10 Years

Formula used:

I = PRN / 100

Where P = Principal amount, R = Rate of interest in %, N = Number of years, I = Interest earned

Calculation:

Here, I₁ = I₂ = I₃

⇒ P₁ × 12 × 4 / 100 = P₂ × 10 × 8 / 100 = P₃ × 10 × 15 / 100

⇒ 48 × P1 = 80 × P2 = 150 × P3

LCM of 48, 80, 150 = 1200

Hence, 48 × 25 = 80 × 15 = 150 × 8

⇒ P₁ : P₂ : P₃ = 25 : 15 : 8

∴ The ratio of her investment is 25 : 15 : 8.