Multiple choice

The questions given below contain three statements giving certain data. You have to decide whether the data given in the statements are sufficient for answering the question? How much money did Prashant borrow from Arun? I. After 8 years Arun received Rs. 6,400 as simple interest from Prashant. II. Prashant invested 50% of the borrowed money somewhere and received Rs. 8,000 at that place. III. After 4 years the amount was 20% of the simple interest.

  1. Only I and II

  2. Only I and III

  3. All are necessary

  4. All together are not sufficient

  5. None of these

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

We need to find the principal amount Prashant borrowed. Statement I: After 8 years, Arun received Rs. 6,400 as simple interest from Prashant. This gives SI = 6400, time = 8 years. But we don't know the rate or principal. Statement II: Prashant invested 50% of borrowed money and received Rs. 8,000 - we don't know the time, rate, or whether this is principal+interest. Statement III: After 4 years, amount was 20% of simple interest - this doesn't give us rate or principal. Even combining all statements, we have multiple unknowns (P, r) and cannot solve uniquely. The data is insufficient.