A lends ₹ 2500 to B and a certain sum to C at the same time at 7\% p.a. simple interest. If after 4 years, A altogether receives ₹ 1120 as interest from B and C, then the sum lent to C is :
(a)₹ 700
(b)₹ 1500
(c)₹ 4000
(d)₹ 6500
Answer
Answer (as printed): B
Explanation
Let the sum lent to $C$ be $₹ x$. Then, $\left(\frac{2500 \times 7 \times 4}{100}\right)+\left(\frac{x \times 7 \times 4}{100}\right)=1120$ $$\Leftrightarrow \quad \frac{7}{25} x=(1120-700) \Rightarrow x=\left(\frac{420 \times 25}{7}\right)=1500 .$$
Explanation as extracted from the printed page; notation may be imperfect.