Multiple choice

A lends Rs. 2500 to B and a certain sum to C at the same time at 7% p.a. simple interest. If after 4 years, A altogether receives Rs. 1120 as interest from both B and C, what is the sum lent to C?

  1. Rs. 700

  2. Rs. 1500

  3. Rs. 4000

  4. Rs. 6500
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Let the sum lent to C be x. The interest from B is (2500 * 7 * 4) / 100 = 700. The total interest is 1120, so the interest from C is 1120 - 700 = 420. Using the formula 420 = (x * 7 * 4) / 100, we get 420 = 0.28x, which results in x = 1500.

AI explanation

Using the Simple Interest formula, the interest from B is 2500 times 7 times 4 divided by 100, which equals Rs. 700. The interest from C is the total interest minus B's interest, giving 1120 minus 700, which is Rs. 420. Substituting this into the Simple Interest formula for C, the principal is 420 times 100 divided by 7 divided by 4, resulting in Rs. 1500.

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