Question
A took a loan of Rs.6980 at simple interest of 25% p.a.
and invested the same money in a scheme at simple interest of 35% p.a. Find the profit earned by A at the end of 2 years.Solution
Interest paid by A = (6980 × 2 × 25)/100 = Rs.3490 Interest received by A from the scheme = (6980 × 2 × 35)/100 = Rs.4886 Profit = 4886 – 3490 = Rs.1396
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