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What is the ratio of simple interest ear...

What is the ratio of simple interest earned on certain amount at the rate of `12%` p.a for 9 years and that for 12 years ?

A. `1:2`

B `2:3`

C. 3:4

D. `4:5`

A

C

B

D

C

B

D

A

Text Solution

AI Generated Solution

The correct Answer is:
To find the ratio of simple interest earned on a certain amount at the rate of 12% per annum for 9 years and for 12 years, we can follow these steps: ### Step 1: Understand the formula for Simple Interest The formula for calculating Simple Interest (SI) is given by: \[ SI = \frac{P \times R \times T}{100} \] where: - \( P \) = Principal amount (the initial amount of money) - \( R \) = Rate of interest (in percentage) - \( T \) = Time (in years) ### Step 2: Calculate Simple Interest for 9 years Let’s denote the principal amount as \( P \). Using the formula for SI: \[ SI_{9} = \frac{P \times 12 \times 9}{100} \] \[ SI_{9} = \frac{P \times 108}{100} = \frac{108P}{100} \] ### Step 3: Calculate Simple Interest for 12 years Now, we calculate the Simple Interest for 12 years: \[ SI_{12} = \frac{P \times 12 \times 12}{100} \] \[ SI_{12} = \frac{P \times 144}{100} = \frac{144P}{100} \] ### Step 4: Find the ratio of SI for 9 years to SI for 12 years Now we need to find the ratio of \( SI_{9} \) to \( SI_{12} \): \[ \text{Ratio} = \frac{SI_{9}}{SI_{12}} = \frac{\frac{108P}{100}}{\frac{144P}{100}} \] The \( P \) and \( 100 \) cancel out: \[ \text{Ratio} = \frac{108}{144} \] ### Step 5: Simplify the ratio To simplify \( \frac{108}{144} \): \[ \frac{108 \div 36}{144 \div 36} = \frac{3}{4} \] ### Conclusion Thus, the ratio of simple interest earned for 9 years to that for 12 years is: \[ \text{Ratio} = 3:4 \] ### Final Answer The correct option is **C. 3:4**. ---
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