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A person invests money in three different schemes for 5 yr, 10 yr and 15 yr at 8%, 10% and 12% simple interest respectively. At the completion of each scheme, he gets the same interest. The ratio of his investment is?

Question

A person invests money in three different schemes for 5 yr, 10 yr and 15 yr at 8%, 10% and 12% simple interest respectively. At the completion of each scheme, he gets the same interest. The ratio of his investment is?

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Solution

Let's assume the person invests an amount of money in each scheme. Let's call these amounts A, B, and C for the 5-year, 10-year, and 15-year schemes respectively.

According to the given information, the interest earned at the completion of each scheme is the same. Let's call this interest amount I.

For the 5-year scheme, the interest earned can be calculated using the formula: I = (A * 8% * 5) / 100.

For the 10-year scheme, the interest earned can be calculated using the formula: I = (B * 10% * 10) / 100.

For the 15-year scheme, the interest earned can be calculated using the formula: I = (C * 12% * 15) / 100.

Since the interest earned is the same for all three schemes, we can equate the above equations:

(A * 8% * 5) / 100 = (B * 10% * 10) / 100 = (C * 12% * 15) / 100.

Simplifying this equation, we get:

40A = 100B = 180C.

To find the ratio of the investments, we can divide the above equation by A:

40 = (100B) / A = (180C) / A.

Dividing the first and third terms by 40, we get:

1 = (100B) / (40A) = (180C) / (40A).

Simplifying further, we get:

1 = (5B) / (2A) = (9C) / (2A).

Now, we can find the ratio of the investments:

A : B : C = 2 : 5 : 9.

Therefore, the ratio of the person's investments in the three schemes is 2 : 5 : 9.

This problem has been solved

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