Question
Rs. 7000 is invested in scheme ‘A’ for 2 years and
Rs. 5000 is invested in scheme ‘B’ for 2 years. Scheme ‘A’ offers simple interest of 15% p.a. If the interest received from both the schemes are equal, then find the rate of simple interest (p.a.) offered by scheme ‘B’.Solution
Interest received from scheme ‘A’ = 7000 × 15 × 2 ÷ 100 = Rs. 2100 Let the rate of simple interest offered by scheme ‘B’ = ‘k%’ p.a. ATQ; 5000 × 2 × k ÷ 100 = 2100 Or, 100k = 2100 Or, k = (2100/100) = 21 So, rate of simple interest offered by scheme ‘B’ = 21% per annum.
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