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Aryan invested an sum of money at an ann...

Aryan invested an sum of money at an annual simple interesst rate of 10%. At the end of four years the amount invested plus interest earned was Rs 770. The amount invested was:

A

Rs 650

B

Rs 350

C

Rs 550

D

Rs 500

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The correct Answer is:
To find the amount invested by Aryan, we can follow these steps: ### Step 1: Understand the problem We know that Aryan invested a sum of money at an annual simple interest rate of 10%. After 4 years, the total amount (principal + interest) is Rs 770. ### Step 2: Set up the formula for Simple Interest The formula for calculating Simple Interest (SI) is: \[ \text{SI} = \frac{P \times R \times T}{100} \] Where: - \( P \) = Principal amount (the amount invested) - \( R \) = Rate of interest (10%) - \( T \) = Time (4 years) ### Step 3: Calculate the Interest earned Using the formula, we can express the interest earned over 4 years: \[ \text{SI} = \frac{P \times 10 \times 4}{100} \] \[ \text{SI} = \frac{40P}{100} = \frac{2P}{5} \] ### Step 4: Write the equation for total amount The total amount after 4 years is the sum of the principal and the interest earned: \[ \text{Total Amount} = P + \text{SI} \] Substituting the expression for SI: \[ 770 = P + \frac{2P}{5} \] ### Step 5: Combine the terms To combine the terms, we can express \( P \) as \( \frac{5P}{5} \): \[ 770 = \frac{5P}{5} + \frac{2P}{5} \] \[ 770 = \frac{5P + 2P}{5} \] \[ 770 = \frac{7P}{5} \] ### Step 6: Solve for P To isolate \( P \), multiply both sides by 5: \[ 770 \times 5 = 7P \] \[ 3850 = 7P \] Now, divide both sides by 7: \[ P = \frac{3850}{7} \] \[ P = 550 \] ### Step 7: Conclusion The amount invested by Aryan was Rs 550. ---
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