Difficulty: Medium
Correct Answer: ₹ 1200
Explanation:
Introduction / Context:
When principal changes partway through an investment under simple interest, compute interest separately for each phase and add them. The given single-amount interest helps deduce P * r first.
Given Data / Assumptions:
Concept / Approach:
From I = P * r * t / 100, if I10 = ₹ 600 for 10 years at (P, r), then P * r = 600 * 100 / 10 = 6000. Use this to compute phase-wise interest with principal P for 5 years and 3P for the next 5 years.
Step-by-Step Solution:
P * r = 6000Interest for first 5 years: I1 = (P * r * 5) / 100 = 6000 * 5 / 100 = ₹ 300Interest for last 5 years with 3P: I2 = (3P * r * 5) / 100 = 3 * 6000 * 5 / 100 = ₹ 900Total interest = I1 + I2 = 300 + 900 = ₹ 1200
Verification / Alternative check:
This linear approach is valid for SI because interest depends independently on each phase’s principal and time, then sums up.
Why Other Options Are Wrong:
₹ 600 and ₹ 900 ignore the tripling effect; “Data inadequate” is incorrect because P * r is deducible from the given 10-year total SI.
Common Pitfalls:
Confusing total 10-year SI across scenarios or mistakenly compounding (this is SI, not CI).
Final Answer:
₹ 1200
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