Rajesh invested ₹10,000 by dividing it into two different investment schemes, A and B, at simple interest rates of 8% and 10%, respectively. If the total interest earned in 2 years is ₹1,680, the amount invested in scheme A is:
Show answer & explanation
Correct answer: A
Explanation
The correct answer is Option 1 i.e. ₹8,000.
We know that,
S.I. = (P × R × T)/100
here, S.I. = Simple Interest, P = Principal, R = Rate, and T = Time
Let the amount invested in Scheme A be x and the amount invested in Scheme B is (10000 - x)
⇒ 1680 = (x × 8 × 2)/100 + ((10000 - x) × 10 × 2)/100
⇒ 168000 = 16x + (10000 - x) × 20
⇒ 168000 = 16x + 200000 - 20x
⇒ 4x = 32000
⇒ x = 8000
So, the amount invested in Scheme A is Rs.8000