Multiple choice

A person invests his money in two schemes A and B equally. In scheme A he invested money for 3 years at 5% and in scheme B he invested his money for 2 years at 10% of simple interest. If at the end he get total interest of Rs.7000. Find the total amount he invested?

  1. 20000

  2. 25000

  3. 30000

  4. 40000

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Let the total amount invested be 2x. So x in each scheme. Scheme A interest: x * 5% * 3 = 0.15x. Scheme B interest: x * 10% * 2 = 0.20x. Total interest = 0.15x + 0.20x = 0.35x = 7000. Therefore x = 7000/0.35 = 20000. Total investment = 2x = 40000. Answer D is correct.