Multiple choice

Sachin lent Rs 20000 to Ankit at simple interest at the rate of 10 per annum for 2 years and Ankit lent half of the money to Gaurav at simple interest at the rate of 15 per annum for 2 years and lent rest half of the money to Amar at compound interest at the rate of 5% per annum for 2 years Find the profit loss of Ankit after 2 years in the whole transaction.

  1. 25 loss

  2. 25 profit

  3. 35 loss

  4. 35 profit
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Ankit's total payment to Sachin after 2 years is Rs 20000 + (20000 × 10% × 2) = Rs 24000. He lends Rs 10000 to Gaurav and receives 10000 + (10000 × 15% × 2) = Rs 13000. He lends Rs 10000 to Amar at compound interest and receives 10000 × (1.05)² = Rs 11025. Total received = Rs 24025. Profit = 24025 - 24000 = Rs 25.

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