Multiple choice

Sachin borrowed Rs. 28000 from Yuvraj at 12% simple interest. After 1 year, he paid the interest and Rs. 10000 extra. After 6 months more, if Sachin wants to clear the debt, then how much money does he have to pay Yuvraj?

  1. Rs. 19080

  2. Rs. 22440

  3. Rs. 26000

  4. Rs. 21840

  5. None of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Interest for 1 year on 28000 at 12% is 3360. Total paid after 1 year is 3360 + 10000 = 13360. Remaining principal is 28000 - 10000 = 18000. Interest on 18000 for 6 months (0.5 years) at 12% is 18000 * 0.12 * 0.5 = 1080. Total to clear debt is 18000 + 1080 = 19080.

AI explanation

After one year, the simple interest accrued is (28000 * 12 * 1)/100 = Rs. 3360, so Sachin pays this interest plus Rs. 10000 from the principal, leaving an outstanding principal balance of Rs. 18000. For the next 6 months, the simple interest on this reduced principal is (18000 * 12 * 0.5)/100 = Rs. 1080. To clear the debt entirely, he must pay the remaining principal plus this new interest, totaling 18000 + 1080 = Rs. 19080.

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