Anil gave Rs. 7000 to Bhawani for 2 years. He also gave rs. 5000 to Chirag for 4 years. The money he gave was on simple interest and at a similar interest rate. The interest rate he received from both of them was rs. 3060. Find the interest rate per annum.Choices:- 0.1 7.5'% 0.09 0.11
Question
Anil gave Rs. 7000 to Bhawani for 2 years. He also gave rs. 5000 to Chirag for 4 years. The money he gave was on simple interest and at a similar interest rate. The interest rate he received from both of them was rs. 3060. Find the interest rate per annum.Choices:- 0.1 7.5'% 0.09 0.11
Solution
To solve this problem, we need to use the formula for simple interest which is I = PRT/100, where I is the interest, P is the principal amount, R is the rate of interest, and T is the time in years.
From the problem, we know that Anil received a total interest of Rs. 3060 from Bhawani and Chirag. We can set up two equations based on the information given:
For Bhawani: I = PRT/100 becomes 7000R2/100 = I1 For Chirag: I = PRT/100 becomes 5000R4/100 = I2
We know that I1 + I2 = 3060
Substituting the expressions for I1 and I2 from the above equations, we get:
7000R2/100 + 5000R4/100 = 3060 Solving this equation for R gives us the rate of interest per annum.
140R + 200R = 3060 340R = 3060 R = 3060 / 340 R = 9%
So, the rate of interest per annum is 9%. The correct choice is 0.09.
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