Ramesh has ₹18,000. He deposited ₹7,000 in a bank at the rate of 5% per annum…
2024
Ramesh has ₹18,000. He deposited ₹7,000 in a bank at the rate of 5% per annum and ₹6,000 in other bank at the rate of 6% per annum simple interest. If he received ₹1,160 as simple interest at the end of one year, then the rate of interest per annum on rest of the capital is equal to:
- A.
10%
- B.
11%
- C.
9%
- D.
8%
Attempted by 10 students.
Show answer & explanation
Correct answer: C
Identify the total capital and remaining capital:
Total capital = ₹18,000
Part 1 = ₹7,000
Part 2 = ₹6,000
Remaining capital = ₹18,000 - ₹7,000 - ₹6,000 = ₹5,000
Calculate interest from known parts (Time = 1 year):
Interest from Part 1 = (₹7,000 × 5 × 1) / 100 = ₹350
Interest from Part 2 = (₹6,000 × 6 × 1) / 100 = ₹360
Determine interest from remaining capital:
Total interest = ₹1,160
Interest from remaining part = ₹1,160 - (₹350 + ₹360) = ₹1,160 - ₹710 = ₹450
Calculate the rate of interest:
Interest formula: SI = (P × R × T) / 100
₹450 = (₹5,000 × R × 1) / 100
R = (450 × 100) / 5,000 = 9%