Question

Sudha lends Rs.2,800 for 4 years at $6\frac{1}{2}$ per cent per annum and Rs.6,550 for 5 years at 8 per cent per annum. Find her total earning from these investments.

• A. Rs.2,637
• B. Rs.3,348
• C. Rs.4,241
• D. Rs.4,911

Answer 1

The correct option is B Rs.3,348

Simple Interest $I=\frac{PNR}{100}$
For the first situation, Given,
$P=Rs2,800$
$N=4years$
$R=\frac{13}{2}$ %
So, $=>I=\frac{PNR}{100}$
$=>I=\frac{2,800\times 4\times \frac{13}{2}}{100}$
$=>I=Rs728$

For the second situation, Given,
$P=Rs6,550$
$N=5years$
$R=8$ %
So, $=>I=\frac{PNR}{100}$
$=>I=\frac{6550\times 5\times 8}{100}$
$=>I=Rs2,620$
So, total interest earned $=Rs728+Rs2,620=Rs3,328$