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

    Question

    Arun deposited Rs 18000 in PNB for 3 years and got a total

    amount of Rs 23400 whereas Varun deposited Rs 25000 in SBI and got a total interest of Rs 4000 after 2 years. What is the difference between the rate of interest offered by both the banks in the given time period if the amounts are calculated on simple interest basis?
    A 2% Correct Answer Incorrect Answer
    B 2.5% Correct Answer Incorrect Answer
    C 1.5% Correct Answer Incorrect Answer
    D 2.75% Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    Total interest offered by PNB after 3 years = Rs (23400 - 18000) = Rs 5400
    Hence rate of interest offered by PNB = (5400 X 100)/(18000 X 3)% = 10% similarly rate of interest offered by SBI = (4000 X 100)/(25000 X 2)% = 8%
    Hence difference between rate of interest offered = (10 - 8) % = 2%

    Practice Next