Question

Meena and Anand each lent the same sum of money for 2 years at 5% simple interest rate and at 5% compound interest rate respectively. Anand received ₹15 more than Meena. Find the amount of money lent by them?

• A. ₹6600
• B. ₹6000
• C. ₹5600
• D. ₹6500

Answer 1

The correct option is B

₹6000

Let the sum of money lent be P.
Interest earned by Meena at simple interest:
$S.I.=\frac{PTR}{100}=\frac{P\times 2\times 5}{100}=\frac{P}{10}$

Interest earned by Anand at compound interest:
$C.I.=P(1+\frac{R}{100}{)}^2-P=P(1+\frac{5}{100}{)}^2-P=P(\frac{105}{100}{)}^2-P=P(\frac{21}{20}{)}^2-P=\frac{441P}{400}-P=\frac{41P}{400}$

Given that C.I. - S.I. = ₹15
$⟹\frac{41P}{400}-\frac{P}{10}=15⟹\frac{41P-40P}{400}=15⟹P=15\times 400⟹P=₹6000$