Question

An equal amount of sum is invested in a bank two different deposit schemes for 5 years at simple interest with rates 25% p.a and 40% p.a. If the total interest after 5 years is Rs. 14300, then find the sum invested on each scheme.
1. Rs. 4500
2. Rs. 4400
3. Rs. 3400
4. Rs. 4300

Answer 1

Correct Answer - Option 2 : Rs. 4400

Given:

Total interest = Rs. 14300

Time period = 5 years

interest for 1st scheme = 25%

interest for 2nd scheme = 40%

Formula Used:

S.I = (P × R × T)/100

Calculation:

Total interest = S.I1 + S.I2

S.I1 + S.I2 = 14300

14300 = {(P × R1 × T)/100 + (P × R2 × T)/100}

14300 = {PT(R1 + R2)}/100 = {P × 5(25 + 40)/100} 

14300 = P × (325/100) 

P = 14300 × 4/13 = Rs. 4400 

∴ The sum invested on each scheme is Rs. 4400