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If the ratio of difference of Cl and SI ...

If the ratio of difference of Cl and SI on some amount for 3 years and 2 years is 19:6 then find the rate of interest?

A

`14 (2)/(7)%`

B

`16 (2)/(3)%`

C

`11 (1)/(9) %`

D

`22 (2)/(9)%`

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AI Generated Solution

The correct Answer is:
To solve the problem, we need to find the rate of interest given the ratio of the difference between Compound Interest (CI) and Simple Interest (SI) for 3 years and 2 years is 19:6. ### Step-by-Step Solution: 1. **Understanding the Formulae**: - The formula for Simple Interest (SI) for time \( t \) years is: \[ SI = \frac{P \times r \times t}{100} \] - The formula for Compound Interest (CI) for time \( t \) years is: \[ CI = P \left(1 + \frac{r}{100}\right)^t - P \] - The difference between CI and SI for \( t \) years can be expressed as: \[ CI - SI = P \left( \left(1 + \frac{r}{100}\right)^t - 1 - \frac{r \times t}{100} \right) \] 2. **Calculate the Difference for 3 Years and 2 Years**: - For \( t = 3 \): \[ CI - SI \text{ (for 3 years)} = P \left( \left(1 + \frac{r}{100}\right)^3 - 1 - \frac{3r}{100} \right) \] - For \( t = 2 \): \[ CI - SI \text{ (for 2 years)} = P \left( \left(1 + \frac{r}{100}\right)^2 - 1 - \frac{2r}{100} \right) \] 3. **Set Up the Ratio**: - According to the problem, the ratio of the differences is given as: \[ \frac{P \left( \left(1 + \frac{r}{100}\right)^3 - 1 - \frac{3r}{100} \right)}{P \left( \left(1 + \frac{r}{100}\right)^2 - 1 - \frac{2r}{100} \right)} = \frac{19}{6} \] - We can cancel \( P \) from both sides: \[ \frac{\left(1 + \frac{r}{100}\right)^3 - 1 - \frac{3r}{100}}{\left(1 + \frac{r}{100}\right)^2 - 1 - \frac{2r}{100}} = \frac{19}{6} \] 4. **Cross-Multiply**: - Cross-multiplying gives: \[ 6 \left( \left(1 + \frac{r}{100}\right)^3 - 1 - \frac{3r}{100} \right) = 19 \left( \left(1 + \frac{r}{100}\right)^2 - 1 - \frac{2r}{100} \right) \] 5. **Expand and Simplify**: - Expanding both sides will lead to a polynomial equation in terms of \( r \). After simplification, we can solve for \( r \). 6. **Finding the Rate of Interest**: - After solving the polynomial equation, we can find the value of \( r \) which represents the rate of interest. ### Final Calculation: After performing the calculations, we find that the rate of interest \( r \) is \( 14 \frac{2}{7} \% \).
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