Simple Interest Problem

[naveed_786110]

Johnson left Rs 100,000 with the direction that it should be divided in such a way that his minor sons Tom, **** and Harry 9,12,15 years old should each receive equally after attaining the age 25 years. the rate of interest 3.5% how much each son receive after getting 25 years years old?

Solution:

Tom will get Rs. 'x' after 16 years,
**** will get Rs. 'x' after 13 years,
Harry will get get Rs. 'x' after 10 years

100,000 will grow to Rs. 156,000 after 16 years(Tom is now 9) at 3.5% rate of simple interest. So
Amount each one should get Rs. 156,000/3 = Rs. 52000.
i.e; x = 52000

But the Correct answer is Rs. 51894

I think I am making some mistake understanding the problem....Please guide.

 

[stapel]

Johnson left Rs 100,000 with the direction that it should be divided in such a way that his minor sons Tom, **** and Harry 9,12,15 years old should each receive equally after attaining the age 25 years. the rate of interest 3.5% how much each son receive after getting 25 years years old?

Solution:

Tom will get Rs. 'x' after 16 years,
**** will get Rs. 'x' after 13 years,
Harry will get get Rs. 'x' after 10 years

100,000 will grow to Rs. 156,000 after 16 years(Tom is now 9) at 3.5% rate of simple interest. So
Amount each one should get Rs. 156,000/3 = Rs. 52000.
i.e; x = 52000

If this amount is given to Harry when he turns 25, how much will be left? What will be the amount in another three years, when **** turns 25? How much then would be left for Tom? (Do the math. Check the values.)

Instead, try working with the boys' ages and the times involved. Start with the principal: you're starting with Rs100,000.

You know that some equal amount "x" will be given to each of the boys. You know that the interest rate is fixed at 3.5%.

You know the time frames for interest: 10 years, 13 years, and 16 years. So now you can set up the formula, working in stages (and assuming the interest is compounded annually).

. . . . .1st stage of growth: 100,000(1 + 0.035)^10

Then there will be the first deduction of the (currently unknown) amount "x", leaving:

. . . . .1st withdrawal: 100,000(1 + 0.035)^(10) - x

Then there will be further growth (for another three years):

. . . . .2nd stage of growth: [100,000(1 + 0.035)^10 - x](1 + 0.035)^3

This will be followed by another withdrawal:

. . . . .2nd withdrawal: [100,000(1 + 0.035)^10 - x](1 + 0.035)^3 - x

This will be followed by... what? Leading to... what formula? And to what should this expression be set equal?

If you get stuck, please reply showing all of your working in following the above step-by-step instructions. Thank you!