Multiple choice

Ram and Veer invested Rs P and Rs (P + 2250) on CI at the rate of 10% p.a. and 20% p.a. respectively. If both exchanged their investment then the sum of compound interest received by both earlier and now after two years is Rs 7962.5. Find the amount invested by Veer?

  1. Rs 6850

  2. Rs 6650

  3. Rs 7250

  4. Rs 7450

  5. Rs 7650
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Let P = Ram's investment. Original CI: Ram = P(1.1² - 1) = 0.21P, Veer = (P+2250)(1.2² - 1) = 0.44(P+2250). After exchanging: Ram = 0.21(P+2250), Veer = 0.44P. Total: 0.21P + 0.44(P+2250) + 0.21(P+2250) + 0.44P = 1.3P + 1462.5 = 7962.5. Solving: 1.3P = 6500, P = 5000. Veer's investment = P + 2250 = 7250.

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