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Interest earned on ₹9000 is ₹400 more th...

Interest earned on `₹9000` is `₹400` more than the interest earned on `₹7000`. If both the sums are invested at the same rate of interest for `4` years, find the rate of interest.

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To solve the problem step by step, we will use the formula for simple interest and the information given in the question. ### Step 1: Understand the Simple Interest Formula The formula for simple interest (SI) is given by: \[ SI = \frac{P \times R \times T}{100} \] where: - \( P \) = Principal amount - \( R \) = Rate of interest (in percentage) - \( T \) = Time (in years) ### Step 2: Calculate Simple Interest for Both Amounts Let’s denote: - \( SI_1 \) as the simple interest on ₹9000 - \( SI_2 \) as the simple interest on ₹7000 For \( SI_1 \): \[ SI_1 = \frac{9000 \times R \times 4}{100} = \frac{36000R}{100} = 360R \] For \( SI_2 \): \[ SI_2 = \frac{7000 \times R \times 4}{100} = \frac{28000R}{100} = 280R \] ### Step 3: Set Up the Equation Based on Given Information According to the problem, the interest earned on ₹9000 is ₹400 more than the interest earned on ₹7000. Therefore, we can write the equation as: \[ SI_1 = SI_2 + 400 \] Substituting the values we found: \[ 360R = 280R + 400 \] ### Step 4: Solve for R Now, we will solve the equation for \( R \): \[ 360R - 280R = 400 \] \[ 80R = 400 \] \[ R = \frac{400}{80} = 5 \] ### Step 5: Conclusion The rate of interest \( R \) is \( 5\% \).
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