Practicing Success

Target Exam

CUET

Subject

General Test

Chapter

Numerical Ability

Topic

Simple Interest

Question:

Raman paid Rs. 11400 as interest after 9 years. He had borrowed some money at rate of 6% for first two years, 9% for next three years and 14% for rest of the period. How much money did he borrow?

 

Options:

Rs. 10000

Rs. 15000

Rs. 12000

Rs. 12500

Correct Answer:

Rs. 12000

Explanation:

Value of interest in % form = 6% x 2 + 9% x 3 + 14% x 4 = 12% + 27% + 56% = 95%

The value of 11400 i.e. the interest paid by Raman after 9 years is 95%, so, the value of principle (money which he borrowed) i.e. 100% is as follows:

\(\frac{ 11400}{95 }\) x 100 = 12000

Thus, the money which he borrowed amounted Rs. 12000