Answer:
[tex]RS\ 8,748[/tex]
Step-by-step explanation:
we know that
The simple interest formula is equal to
[tex]A=P(1+rt)[/tex]
where
A is the Final Investment Value
P is the Principal amount of money to be invested
r is the rate of interest
t is Number of Time Periods
step 1
Find the rate of interest
in this problem we have
[tex]t=8\ years\\ P=RS\ 3,560\\ A=RS\ 4,272\\r=?[/tex]
substitute in the formula above
[tex]4,272=3,560(1+8r)[/tex]
solve for r
[tex]8r=(4,272/3,560)-1[/tex]
[tex]r=[(4,272/3,560)-1]/8[/tex]
[tex]r=0.025[/tex]
convert to percentage
[tex]r=0.025*100=2.5\%[/tex]
step 2
What will be the simple interest on Rs 6480 in 14 years at the same rate of interest?
we have
[tex]t=14\ years\\ P=RS\ 6,480\\ A=?\\r=0.025[/tex]
substitute in the formula above
[tex]A=6,480(1+0.025*14)[/tex]
[tex]A=6,480(1+0.35)[/tex]
[tex]A=RS\ 8,748[/tex]
