Question

Mr. Sharma invested Rs. 9600 in Scheme 'A', which offers compound interest at a rate of 'r'% per annum, compounded annually for 2 years. After 2 years, he earned Rs. 2,550 as interest. Subsequently, he reinvested the total amount received from Scheme 'A' into Scheme 'B' for a period of 4 years. Scheme 'B' provides simple interest at a rate of (r + 2.5)% per annum. Calculate the interest he earned from Scheme 'B' at the end of 4 years.

Q: Answer-Mr. Sharma invested Rs. 9600 in Scheme 'A', which offers compound interest at a rate of 'r'% per ann...

Total amount received from scheme A Rs. 9600 2550 Rs. 12150We know that, Amount P x 1 rate100 time So, 12150 9600 1 r100 2 Or, 121509600 1 r100 2 Or, 8164 1 r100 2 Or, 98 2 1 r100 2 Or, 9 - 8 8 r100Or, 18 r100Or, r 12.5So, rate of interest for scheme B 12.5 2.5 15So, interest received from scheme B 12150 X 0.15 X 4 Rs. 7,290