Asmita invests an amount of ₹ 9534 @ 4 p.c.p.a. to obtain a total amount of ₹ 11442 on simple interest after a certain period. For how many years did she invest the amount to obtain the total sum?
Aptitude
Simple Interest
Difficulty: Medium
Choose an option
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A2 years
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B4 years
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C5 years
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D10 years
Answer
Correct Answer: 5 years
Explanation
### Concept & Simple Interest Time Formula
The Simple Interest ($SI$) is the difference between the Final Amount ($A$) and the Principal ($P$).
The formula for time ($T$) when $SI$, Principal, and Rate ($R$) are known is:
$$T = \frac{SI \times 100}{P \times R}$$
### Step-by-Step Solution
* Given Principal, $P = \text{₹ } 9534$
* Given Amount, $A = \text{₹ } 11442$
* Given Rate, $R = 4\%$ p.a.
* First, find the Simple Interest:
$SI = A - P = 11442 - 9534 = \text{₹ } 1908$
* Now, apply the time formula:
$T = \frac{1908 \times 100}{9534 \times 4}$
$T = \frac{190800}{38136} = 5 \text{ years}$
### Exam Strategy & Shortcut
To quickly check the division, observe the final digits or do a rough estimation: $9500 \times 4\% = 380$ per year. Total interest is about $1900$. $1900 / 380 = 5$ exactly.
### Common Pitfall
A common error is to directly plug the Final Amount ($11442$) into the formula instead of the Simple Interest ($1908$), leading to completely incorrect calculations.
### Final Answer
Therefore, the correct answer is **5 years**.