Question
Sanjay invested Rs. ‘x’ at the rate of 14% simple
interest for 2 years, while Manish invested 50% of x at 12% compound interest per annum for 2 years. If the total interest earned is Rs. 512, then what is the value of ‘x’?Solution
ATQ,
Manish's investment = Rs. 0.5x
According to the question:
(x × 14 × 2)/100 + [0.5x × 1.12 × 1.12 – 0.5x] = 512
⇒ 0.28x + 0.12544x = 512
⇒ 0.40544x = 512
⇒ x = 1262
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