Murali deposited a certain sum of money at S.I, which amounts to Rs. 720 after 2 years and to Rs. 1020 after a further period of 5 years. What is the money deposited by murali ?
Rs.600
Rs.300
Rs.250
Rs.800
Explanation:
We can observer here that the amount grew upto Rs.1020 after a further period of 5 years.
This implies that interest is being added to the principal every year for the next 5 years.
So Rs.300 has been added in 5 years.
That is for every year the bank must have added Rs.60 to the account.
Now for the first two years bank has added Rs.120.
So the money deposited by Murali = Rs.720 - 120 = Rs.600
We can observer here that the amount grew upto Rs.1020 after a further period of 5 years.
This implies that interest is being added to the principal every year for the next 5 years.
So Rs.300 has been added in 5 years.
That is for every year the bank must have added Rs.60 to the account.
Now for the first two years bank has added Rs.120.
So the money deposited by Murali = Rs.720 - 120 = Rs.600