New RBI Grade B 2025 Notification will come Soon! Enroll Here

    Question

    Shankar borrowed Rs. 7,200 at simple interest and

    repaid an amount of Rs. 9,504 after 7 years. If the interest rate p.a charged for first 4 years was 5% p.a., find the interest rate p.a. charged for the last 3 years.
    A 2% Correct Answer Incorrect Answer
    B 4% Correct Answer Incorrect Answer
    C 6% Correct Answer Incorrect Answer
    D 8% Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    S.I. = 9,504 – 7,200 = Rs. 2,304 ∴  (7200  × 4  × 5)/100  +  (7200 × 3  × R)/100  = 2,304 ⟹ 1440 + 216 R = 2,304⟹ 216R = 864 ∴ R = 4% p.a.

    Practice Next

    Relevant for Exams: