If the rate increases by 2%, the simple interest received on a sum of…

Question

If the rate increases by 2%, the simple interest received on a sum of money increases by Rs. 108. If the time period is increased by 2 years, the simple interest on the same sum increases by Rs. 180. The sum is:

Accepted Answer

Option D. Data inadequate. Answer & Solution Answer: Option D Solution: & Let the sum be Rs . x & Rate be R\% p .a . & Time be T years . & Then, & [ x × ( R × 2 ) × T100 ] - ( x × R × T100 ) = 108 & 2x T = 10800\,........(i) & And, & [ x × R × ( T + 2 )100 ] - ( x × R × T100 ) = 108 & 2x R = 18000\,......…