A person borrowed 1,200 at 8% p.a. and ₹1,800 at 10% p.a. as simple interest for the same period. He had to pay ₹1,380 in all as interest. Find the time period.
Answer & explanation
Correct answer: option 4
We know,
Simple Interest = \(\frac{Principal ×Rate × Time }{100}\)
\(\frac{1200 ×8× Time }{100}\) + \(\frac{1800 ×10× Time }{100}\) = 1380
96 × Time + 180 × Time = 1380
276×Time = 1380
Time = 5 years