Question

Arun lends rs. 20,000 to two of his friends. he gives rs. 12,000 to the first at 8% p.a. simple interest. arun wants to make a profit of 10% on the whole. the simple interest rate at which he should lend the remaining sum of money to the second friend is

Answer 1

If He wants to get 10℅ interest for his principle amount rs.20000.

For first person he can get rs.960 as interest

For the second person Rs.8000 will be given with the interest of 13℅.Thus he can get rs.1040 as interest