New FLASH SALE Dhamaka - Flat 60% Off on All Courses

    Question

    Rs. 2400 is deposited into scheme 'A' offering a simple

    interest rate of 25% per annum over a period of 8 years. Simultaneously, Rs. 2500 is placed in scheme 'B' that provides a 20% annual compound interest, with the interest being compounded yearly for 2 years. Calculate the disparity in the interest amounts accrued from these two schemes.
    A Rs. 2700 Correct Answer Incorrect Answer
    B Rs. 3200 Correct Answer Incorrect Answer
    C Rs. 4100 Correct Answer Incorrect Answer
    D Rs. 2400 Correct Answer Incorrect Answer
    E Rs. 3700 Correct Answer Incorrect Answer

    Solution

    Interest received from scheme ‘A’ = (2400 × 25 × 8)/100 = Rs. 4800 Interest received from scheme ‘B’ = 2500(1 + 20/100)2 – 2500 = Rs. 1100 Required difference = 4800 – 1100 = Rs. 3700

    Practice Next

    Relevant for Exams: