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A sum of money in 3 years becomes 1344 and in 7 years it becomes Rs. 1536. What is the principal sum where simple rate of interest is to be unchanged?

Question

A sum of money in 3 years becomes 1344 and in 7 years it becomes Rs. 1536. What is the principal sum where simple rate of interest is to be unchanged?

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Solution

To solve this problem, we need to use the formula for simple interest which is I = PRT/100, where I is the interest, P is the principal amount, R is the rate of interest, and T is the time in years.

From the problem, we know that a sum of money becomes Rs. 1344 in 3 years and Rs. 1536 in 7 years. This means that the interest accrued over 4 years (7 years - 3 years) is Rs. 192 (Rs. 1536 - Rs. 1344).

So, we can set up the equation 192 = P * R * 4 / 100.

We also know that the interest accrued over the first 3 years is Rs. 1344 - P.

So, we can set up another equation 1344 - P = P * R * 3 / 100.

Now we have a system of two equations, and we can solve for P and R.

First, let's solve the first equation for R: R = 192 * 100 / (P * 4).

Then, substitute R in the second equation: 1344 - P = P * (192 * 100 / (P * 4)) * 3 / 100.

Solving this equation for P gives us the principal amount.

This problem has been solved

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