Some amount out of Rs. 12000 was lent out at 10% per annum and the rest amount @ 16% per annum and thus in 5 years the total interest from both the amount collected was Rs. 7200. What is the amount which was lent out at 10% per annum?
let x be the amount at 10% p.a. So (12000 - x) will be invested on 16% p.a. So (x×10×5)/100+((12000-x)×16×5)/100 = 7200 Or 50x + 960000 – 80 x = 720000 Or 30x = 240000 so x = 240000/30 = 8000 Alternative method Overall rate of interest = (12000×R×5)/100 = 7200 R = 12% So by allegation, 
Money lent @ 10% = 2/3 × 12000 = Rs.8000
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