New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    A principal amount is invested at an annual simple

    interest rate of R%, growing to Rs. 9,500 over 5 years and Rs. 13,100 over 9 years. Calculate the total interest earned if this principal is invested at an increased rate of (R + 7)% per annum for 2 years.
    A Rs. 2000 Correct Answer Incorrect Answer
    B Rs. 2500 Correct Answer Incorrect Answer
    C Rs. 3000 Correct Answer Incorrect Answer
    D Rs. 1500 Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    Simple interest for 4 years = 13100 – 9500 = 3600 Simple interest for 1 year = 3600/4 = Rs. 900 Principal amount = 9500 – 5 × 900 = Rs. 5000 So, R = 900/50000 × 100 = 18% Desired interest = 5000 × 0.25 × 2 = Rs. 2500 Hence, option b.

    Practice Next

    Relevant for Exams: