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    Question

    Suresh deposited Rs. β€˜Q’ in a bank offering compound

    interest of 7% p.a. compounded annually. After 5 years, he invested the amount received from the bank in scheme β€˜K’ and β€˜L’ in the ratio of 10:7 respectively. Scheme β€˜L’ offers compound interest of 21% p.a. compounded annually while scheme β€˜K’ offers simple interest of 11% p.a. If total interest received by him from schemes K and L together at the end of 2 years is Rs. 4026.4, then find the value of β€˜Q’.
    A Rs.7000 Correct Answer Incorrect Answer
    B Rs.4500 Correct Answer Incorrect Answer
    C Rs.6000 Correct Answer Incorrect Answer
    D Rs.5000 Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    ATQ Let amount invested in scheme β€˜K’ and scheme β€˜L’ be Rs. β€˜10u’ and Rs. β€˜7u’, respectively. So, 0.11 Γ— 2 Γ— 10u + 0.42 Γ— 7u = 4026.4 Or, 2.2u + 2.94u = 4026.4 Or, 5.14u = 4026.4 Or, u = 783.23 So, Q = (10 Γ— 783.23 + 7 Γ— 783.23)/(1.07 Γ— 1.07 Γ— 1.07 Γ— 1.07 Γ— 1.07) = Rs. 7000

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