Mathematics · Simple Interest
Suppose a principal A is invested, and after 4 years at 10% simple interest per annum, it yields B as interest. If B is then invested for 4 years at 10% simple interest per annum, it yields C as interest. Which of the following relations is true?
- 1A2 = B + C
- 2A = B + C
- 3B2 = AC✓
- 4B = A + C
Correct answer
B2 = AC
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