Correct Answer :
Solution :
The correct answer is 9.
Step-by-step Explanation:
Let the principal amount invested be represented by P, the annual rate of compound interest be R%, and the annual multiplier be r, where:
Here, the initial investment P is Rs 4000.
The value of the investment after t years, denoted as A(t), is given by the formula:
We are given the ratio of the value of the investment after 3 years to the value of the investment after 5 years:
Substituting the formula for compound interest, we get:
Simplifying the left-hand side:
Taking the reciprocal on both sides:
Taking the square root (since r represents a positive multiplication factor):
Now, we want to find the minimum number of years n required for the value of the investment to exceed Rs 20000:
Substitute the values of P and r:
Divide both sides by 4000:
Let's calculate the powers of 1.2 step-by-step:
For n = 1:
For n = 2:
For n = 3:
For n = 4:
For n = 5:
For n = 6:
For n = 7:
For n = 8:
For n = 9:
Since and , the minimum integer value of n for which the value of the investment exceeds Rs 20000 is 9.
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