Mohan borrowed a sum of Rs. 6300 from Gopal at the rate of 14% per annum for 3 years. He added some more money in it and lent it to Shyam at 16% per annum for 3 years. In this process he earns a total profit of Rs. 618. Find how much amount does he added.
Answer & explanation
Correct answer: option 1
Profit = (interest earned from ₨. 6300 at different rates) + (interest on extra amount added by Mohan)
Let the amount added by Mohan be ₨. P
⇒ Profit = \(\frac{6300x(16-14)x3}{100}\) + \(\frac{Px14x3}{100}\)
⇒ \(\frac{6300x2x3}{100}\) + \(\frac{Px16x3}{100}\) = 618
⇒ 48P + 37800 = 61800
⇒ 48P = 24000 or P = 500