Answer
414.6k+ views
Hint: To solve this question, firstly we will find the relation between P and r using the formula of Simple Interest. Then, using the condition in question we will solve the compound interest putting it equal to P+120, from where we will get the value of r. And then we will calculate the value of P using the relation, we get from using the formula of S.I.
Complete step by step answer:
Let the money borrowed by honey from Anu be initially, Rs. P and rate of interest be r.
Now, we know that Simple Interest that is S.I is calculated by formula,
\[S.I=\dfrac{P\times r\times t}{100}\] , where P is Principal Amount, r is rate of interest and t is time for which money is borrowed.
Here, in question S.I = Rs. 100, t = 2
So, on substituting values we get
\[100=\dfrac{P\times r\times 2}{100}\]
On solving, we get
\[P=\dfrac{5000}{r}\]
Now, we know that compound interest is equals to $A=P{{\left( 1+\dfrac{r}{100} \right)}^{n}}$
Now, as in question it is given that Honey then lent this sum to Arushi at the same rate for 2 years at compound interest and after the end of two years she received Rs. as compound interest but paid Rs. 100 as simple interest.
So, we can say that
$A=P{{\left( 1+\dfrac{r}{100} \right)}^{2}}$ , where A = P + 120
So, $P+120=P{{\left( 1+\dfrac{r}{100} \right)}^{2}}$
On simplification, we get
$120=P{{\left( 1+\dfrac{r}{100} \right)}^{2}}-P$
\[120=P\left[ {{\left( 1+\dfrac{r}{100} \right)}^{2}}-1 \right]\]
We know that, ${{a}^{2}}-{{b}^{2}}=(a+b)(a-b)$ ,
So, \[120=P\left[ \left( 1+\dfrac{r}{100}+1 \right)\left( 1+\dfrac{r}{100}-1 \right) \right]\]
On simplification, we get
\[120=P\left[ \left( \dfrac{r}{100}+2 \right)\left( \dfrac{r}{100} \right) \right]\]
As, we know that \[P=\dfrac{5000}{r}\]
So, \[120=\dfrac{5000}{r}\left( \dfrac{r}{100}+2 \right)\left( \dfrac{r}{100} \right)\]
On simplification, we get
\[120=50\left( \dfrac{r}{100}+2 \right)\]
\[24=10\left( \dfrac{r+200}{100} \right)\]
On solving, we get
\[240=r+200\]
Adding – 200 both sides, we get
\[240-200=r+200-200\]
r = 40%
as, \[P=\dfrac{5000}{r}\]
so, \[P=\dfrac{5000}{40}\]
P = Rs. 125
Hence, sum is Rs. 125 and rate of interest is 40%.
Note: To solve such question, must know the formulas to calculate the values of S.I and compound interest, so formula for Simple interest is \[S.I=\dfrac{P\times r\times t}{100}\] and for compound interest is $A=P{{\left( 1+\dfrac{r}{100} \right)}^{n}}$and remember the formula ${{a}^{2}}-{{b}^{2}}=(a+b)(a-b)$. Also, while solving calculation mistakes must be avoided as this will affect the solution part in the end or also make the solution more complex.
Complete step by step answer:
Let the money borrowed by honey from Anu be initially, Rs. P and rate of interest be r.
Now, we know that Simple Interest that is S.I is calculated by formula,
\[S.I=\dfrac{P\times r\times t}{100}\] , where P is Principal Amount, r is rate of interest and t is time for which money is borrowed.
Here, in question S.I = Rs. 100, t = 2
So, on substituting values we get
\[100=\dfrac{P\times r\times 2}{100}\]
On solving, we get
\[P=\dfrac{5000}{r}\]
Now, we know that compound interest is equals to $A=P{{\left( 1+\dfrac{r}{100} \right)}^{n}}$
Now, as in question it is given that Honey then lent this sum to Arushi at the same rate for 2 years at compound interest and after the end of two years she received Rs. as compound interest but paid Rs. 100 as simple interest.
So, we can say that
$A=P{{\left( 1+\dfrac{r}{100} \right)}^{2}}$ , where A = P + 120
So, $P+120=P{{\left( 1+\dfrac{r}{100} \right)}^{2}}$
On simplification, we get
$120=P{{\left( 1+\dfrac{r}{100} \right)}^{2}}-P$
\[120=P\left[ {{\left( 1+\dfrac{r}{100} \right)}^{2}}-1 \right]\]
We know that, ${{a}^{2}}-{{b}^{2}}=(a+b)(a-b)$ ,
So, \[120=P\left[ \left( 1+\dfrac{r}{100}+1 \right)\left( 1+\dfrac{r}{100}-1 \right) \right]\]
On simplification, we get
\[120=P\left[ \left( \dfrac{r}{100}+2 \right)\left( \dfrac{r}{100} \right) \right]\]
As, we know that \[P=\dfrac{5000}{r}\]
So, \[120=\dfrac{5000}{r}\left( \dfrac{r}{100}+2 \right)\left( \dfrac{r}{100} \right)\]
On simplification, we get
\[120=50\left( \dfrac{r}{100}+2 \right)\]
\[24=10\left( \dfrac{r+200}{100} \right)\]
On solving, we get
\[240=r+200\]
Adding – 200 both sides, we get
\[240-200=r+200-200\]
r = 40%
as, \[P=\dfrac{5000}{r}\]
so, \[P=\dfrac{5000}{40}\]
P = Rs. 125
Hence, sum is Rs. 125 and rate of interest is 40%.
Note: To solve such question, must know the formulas to calculate the values of S.I and compound interest, so formula for Simple interest is \[S.I=\dfrac{P\times r\times t}{100}\] and for compound interest is $A=P{{\left( 1+\dfrac{r}{100} \right)}^{n}}$and remember the formula ${{a}^{2}}-{{b}^{2}}=(a+b)(a-b)$. Also, while solving calculation mistakes must be avoided as this will affect the solution part in the end or also make the solution more complex.
Recently Updated Pages
How many sigma and pi bonds are present in HCequiv class 11 chemistry CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Why Are Noble Gases NonReactive class 11 chemistry CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Let X and Y be the sets of all positive divisors of class 11 maths CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Let x and y be 2 real numbers which satisfy the equations class 11 maths CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Let x 4log 2sqrt 9k 1 + 7 and y dfrac132log 2sqrt5 class 11 maths CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Let x22ax+b20 and x22bx+a20 be two equations Then the class 11 maths CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Trending doubts
Fill the blanks with the suitable prepositions 1 The class 9 english CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
At which age domestication of animals started A Neolithic class 11 social science CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Which are the Top 10 Largest Countries of the World?
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Give 10 examples for herbs , shrubs , climbers , creepers
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Difference between Prokaryotic cell and Eukaryotic class 11 biology CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Difference Between Plant Cell and Animal Cell
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Write a letter to the principal requesting him to grant class 10 english CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Change the following sentences into negative and interrogative class 10 english CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)
Fill in the blanks A 1 lakh ten thousand B 1 million class 9 maths CBSE
![arrow-right](/cdn/images/seo-templates/arrow-right.png)