A lent Rs. 5000 to B for two years and Rs. 3000 to C for four years on simple interest at the same rate, and received Rs. 2200 in total as interest from both of them. The annual rate of interest is:
A. 5%
B. 7%
C. 7.18%
D. 10%
Answer:D
A lent Rs. 5000 to B for two years and Rs. 3000 to C for four years on simple interest at the same rate, and received Rs. 2200 in total as interest from both of them. The annual rate of interest is:
A. 5% B. 7% C. 7.18% D. 10%
Explanation: Assume the rate is R percent per annum.Then 2200 = 5000 x R x 2/100 + 3000 x R x 4/100=100R = 120R=2200, R = 2200/220=10.The rate is ten percent.