Multiple choice

A lent some amount to B for 3 years at the rate of 20% per annum simple interest and the equal amount to C for 2 years at the rate of 25% per annum compound interest compounded annually. At the end of time duration, the amount received from B was Rs. 5625 more than that from C. How much money did he lend to each?

  1. 12,0000

  2. 15,0000

  3. 26,0000

  4. 22,5000

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

Amount from B at simple interest: P × 1.6. Amount from C at compound interest: P × 1.5625. Setting 1.6P - 1.5625P = 5625 gives P = 150,000.

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