How Much Sum Borrowed by Man? If
A man borrows money at 3% per annum interest payable yearly and lend it immediately at 5% interest (compound) payable half-yearly and thereby gains ₹ 330 at the end of the year. The sum borrowed is
- ₹ 17000
- ₹ 16500
- ₹15000
- ₹ 16000
Answer: (4) Rs.16000
Explanation:-
Let be the principal is X.
According to the question,
X(1 + 5/2 x 100)2 – X x 3 x 1/100 = 330
X(1 + 1/40)2 – 3X/100 + X = 330
X(41/40)2 – 103X/100 = 330
(1681X – 1648)1600 = 330
33X = 330 x 1600
X = 16000
Hence, the answer is (4) Rs.16000.
