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Rayan invested certain amount for two rates of simple interests at 6% p.a. and 7% p.a. What is the ratio of Rayan's investments if the interests from those investments are equal?

Correct answer: D. 7 : 6

  • A. 4 : 3
  • B. 3 : 2
  • C. 6 : 5
  • D. 7 : 6
  • E. None of theseFinding Low Interest Personal Loans

Explanation

Equal simple interest means P1 x 6% x T = P2 x 7% x T, so P1:P2 = 7:6. Option c, 6:5, incorrectly uses the interest rates in the same order rather than taking investments inversely to the rates.

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