Two Fathers, Two Sons, One Unexpected Lesson: How Rs15,000 Grew to Rs25,000

  • Thread starter himanshu121
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In summary, two fathers gave their sons a total of Rs 25,000. However, due to deflation and the timing of when the money was given, the sons' combined wealth only increased by Rs 15,000. This is because by the time the sons counted their money, the currency had continued to deflate, resulting in a smaller increase in their finances.
  • #1
himanshu121
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Two fathers gave their two sons some money. One gave his son Rs 15,000 and other gave Rs10,000 only.When the two sons counted their finances they found that together they had become richer by only Rs 15,000 Give an explanation to this
 
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  • #2
The two sons were given their money at different times, and the currency is deflating. By the time they have their wits about them and counted it, the currency had continued to deflate further.

This solution takes some liberties with the problem, so it might not be correct. It assumes that the money given was not in actual Rupees but rather described at its Rupee exchange value, and that the value of the Rupee has remained constant.
 
  • #3
2 fathers + 2 sons = 3 people
 
  • #4
what davilla said, but elaborated

person a is person b's father
person b is person c's father

person b has x rupees
person c has y rupees

Therefore together they have x + y rupees.

Person a gives 15000 to person b, his son. Now person b has x + 15000. Person b then gives 10000 to person c. Now person b only has x + (15000 - 10000) and person c has y + 10000. Therefore together they now have (x + 5000) + (y + 10000) or (x + y) + 15000. Subtracting their initial worth, (x + y), you get 15000. So the two sons are 15000 rupees richer, so it is true.
 
  • #5
Thanks Davilla I got it from there

Warr , Thanks for elaboration
 

1. What is the main lesson of "Two Fathers, Two Sons, One Unexpected Lesson: How Rs15,000 Grew to Rs25,000"?

The main lesson of the story is that small, consistent investments can lead to significant growth over time.

2. How did Rs15,000 grow to Rs25,000 in the story?

The two fathers and their sons each invested Rs15,000 in a mutual fund, which grew over time due to compounding interest and market growth.

3. Why is this story important for investors to know?

This story highlights the power of long-term investing and the potential for small investments to grow into significant sums over time.

4. What is the significance of the two fathers and two sons in the story?

The two fathers represent experienced investors who understand the power of long-term investing, while the two sons represent younger investors who are just starting to learn about investment strategies.

5. Is this story based on real-life events?

While the names and specific details may be fictionalized, the underlying lesson of the story is based on real-life investment principles and success stories.

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