Multiple choice

Anindita invests a total of 1 lakh rupees distributed across three schemes A, B and C for a period of two years. These schemes offer an interest rate of 10%, 8% and 12% per annum, respectively, each compounded annually. If the initial investment amount in scheme A is 30000 rupees and the total interest earned from all the three schemes during the first year is 10600 rupees, then the total interest earned, in rupees, from all the three schemes for the second year is

  1. 10308

  2. 11748

  3. 22348

  4. 19708

Reveal answer Fill a bubble to check yourself
B Correct answer
AI explanation

The investment in scheme B and C combined is 100000 - 30000 = 70000 rupees. Using the first year's total interest of 10600, the equation is (30000 * 0.10) + (B * 0.08) + (C * 0.12) = 10600, which simplifies to 2B + 3C = 190000. Solving this with B + C = 70000 gives C = 50000 and B = 20000. The total principal plus first year's interest is 110600, and the second year's interest is calculated on this combined amount using the respective rates, yielding 11748 rupees.