A person invested a total sum of ₹2200 in three different schemes of simple interest at 4%, 5%, and 10% per annum. At the end of one year, he got the same interest from all three schemes. What was the amount (in ₹) invested at 5%?
- (a)₹1000
- (b)₹800
- (c)₹600
- (d)₹400
Answer
Why
Correct — B. Equal interest means each sum is inversely proportional to its rate.
Let each scheme earn ₹I in one year
Sums: I ÷ 0.04 = 25I, I ÷ 0.05 = 20I, I ÷ 0.10 = 10I
Add them: 25I + 20I + 10I = 55I = 2200
So I = ₹40
Sum at 5%: 20 × 40 = ₹800 → option (b)
Why the others are wrong
- (a)₹1000 — ₹1000 is the sum at 4%, not 5%: 4% of 1000 = ₹40. The lowest rate needs the largest sum to earn the same ₹40.
- (c)₹600 — ₹600 at 5% earns ₹30. Matching ₹30 needs ₹750 at 4% and ₹300 at 10%, and 750 + 600 + 300 = ₹1650, not ₹2200.
- (d)₹400 — ₹400 is the sum at 10%: 10% of 400 = ₹40. The highest rate needs the smallest sum, and the question asks for the 5% scheme.
Concept
If P₁ × R₁ = P₂ × R₂ = P₃ × R₃ (same time, same interest), the sums are in the ratio 1⁄R₁ : 1⁄R₂ : 1⁄R₃.
1⁄4 : 1⁄5 : 1⁄10, multiplied by 20, is 5 : 4 : 2, which is 11 parts.
₹2200 ÷ 11 = ₹200 a part, so the sums are ₹1000, ₹800 and ₹400. Each earns ₹40 in a year.
The three sums, ₹1000, ₹800 and ₹400, are all printed as options, so pairing each sum with its rate decides the mark. The question asks for the sum at 5%.
Key facts
- Equal simple interest over equal time means principal × rate is the same for each sum.
- Rates 4%, 5% and 10% give sums in the ratio 5 : 4 : 2.
- Check: 4% of 1000 = 5% of 800 = 10% of 400 = ₹40.
Study next
Common traps
- Splitting ₹2200 in the ratio of the rates, 4 : 5 : 10, instead of their reciprocals.
- Solving correctly and then reading off the sum at 4% or 10%.
Three-scheme simple interest is also asked 15 Sep 2025, 12:30, Quant Q.14, where the total interest of ₹2282 is given instead of equal interests. 18 Sep 2025, 12:30, Quant Q.8 splits ₹20,000 into two parts by an interest difference of ₹2,240.
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