Multiple choice

Mr. A deposited an amount of Rs. 13,500 in two different banks at simple interest rates of 14% p.a. and 12% p.a, respectively. If the total amount of simple interest earned in 2 years was Rs. 3500, what was the amount deposited in the second bank?

  1. Rs. 6400

  2. Rs. 6500

  3. Rs. 7000

  4. Rs. 7500

  5. Rs. 8000
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Let x be amount at 14%, (13500-x) at 12%. Interest = (x * 14 * 2)/100 + ((13500-x) * 12 * 2)/100 = 3500. 0.28x + 0.24(13500-x) = 3500. 0.04x + 3240 = 3500. 0.04x = 260. x = 6500. Amount in second bank = 13500 - 6500 = 7000.

AI explanation

Using the simple interest formula, the interest on the first part at 14% for 2 years is 28% of the principal, and the interest on the second part at 12% for 2 years is 24% of the principal. If x is the amount deposited in the second bank, the equation is 0.28(13500 minus x) plus 0.24x equals 3500. Solving this gives 3780 minus 0.04x equals 3500, so 0.04x equals 280, which means the amount deposited in the second bank was Rs. 7000.

Keep practicing — related questions