ABC26GN4042 · Simple Interest

Subject: General Aptitude · Chapter: Simple Interest · Exam: 2007 · Marks: · Difficulty:

A sum of money amounts to ₹ 5200 in 5 years and to ₹ 5680 in 7 years at simple interest. The rate of interest per annum is :

(a)3\%

(b)4\%

(c)5\%

(d)6\%

Answer

Answer (as printed): D

Explanation

S.I. for 2 years $=₹(5680-5200)=₹ 480$. S.I. for 5 years $=₹\left(\frac{480}{2} \times 5\right)=₹ 1200$. ∴ Principal $=₹(5200-1200)=₹ 4000$. Hence, rate $=\left(\frac{100 \times 1200}{4000 \times 5}\right) \%=6 \%$.

Explanation as extracted from the printed page; notation may be imperfect.

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