1. **Problem statement:** Two capitals of 300000F and 700000F are invested for the same duration at an interest rate of 7% per annum. The total interest earned from both investments is 105000F. We need to find the common duration of the investment in months.
2. **Formula used:** The simple interest formula is
$$I = P \times r \times t$$
where $I$ is the interest, $P$ is the principal (capital), $r$ is the annual interest rate (in decimal), and $t$ is the time in years.
3. **Important notes:**
- Since the interest rate is annual, the time $t$ must be expressed in years.
- The total interest is the sum of interests from both capitals.
4. **Set up the equation:**
Let $t$ be the duration in years.
Interest from first capital:
$$I_1 = 300000 \times 0.07 \times t$$
Interest from second capital:
$$I_2 = 700000 \times 0.07 \times t$$
Total interest:
$$I_1 + I_2 = 105000$$
Substitute:
$$300000 \times 0.07 \times t + 700000 \times 0.07 \times t = 105000$$
5. **Simplify the equation:**
$$0.07 t (300000 + 700000) = 105000$$
$$0.07 t \times 1000000 = 105000$$
6. **Solve for $t$:**
$$0.07 \times 1000000 \times t = 105000$$
$$70000 t = 105000$$
$$t = \frac{105000}{70000}$$
$$t = 1.5$$
7. **Convert $t$ to months:**
Since $t$ is in years,
$$t = 1.5 \text{ years} = 1.5 \times 12 = 18 \text{ months}$$
**Final answer:** The common duration of the investment is **18 months**.
Common Duration 71F0Af
Step-by-step solutions with LaTeX - clean, fast, and student-friendly.