Question Details

A fund is split among three deposits in the ratio 2:3:5. The deposits earn simple interest for 2 years at annual rates of 6%, 8%, and 10%, respectively. If the combined simple interest is Rs. 5,160, what was the original amount of the fund?

Options

A

Rs. 25,000

B

Rs. 35,000

C

Rs. 30,000

D

Rs. 28,000

Show Answer

Correct Answer :

Option C

Rs. 30,000

Solution :

The correct option is Rs. 30,000.

Step 1: Understand the ratio and define variables.
The total fund is divided into three deposits in the ratio 2 : 3 : 5.
Let the common multiplier be x.
Therefore, the amounts in the three deposits are:
First deposit (P1) = 2x
Second deposit (P2) = 3x
Third deposit (P3) = 5x
The total original fund is equal to the sum of all three deposits:

Total Fund=2x+3x+5x=10x

Step 2: Calculate simple interest for each deposit.
The formula for simple interest (SI) is:

SI=P×R×T100

where P is the principal amount, R is the annual rate of interest, and T is the time period in years.
Given that the time period T=2 years for all deposits:

For the first deposit (P1=2x, rate R1=6%):

SI1=2x×6×2100=24x100

For the second deposit (P2=3x, rate R2=8%):

SI2=3x×8×2100=48x100

For the third deposit (P3=5x, rate R3=10%):

SI3=5x×10×2100=100x100

Step 3: Set up the equation using total interest.
The combined simple interest from all three deposits is Rs. 5,160.

SI1+SI2+SI3=5160

24x100+48x100+100x100=5160

172x100=5160

Step 4: Solve for x and calculate the original fund.

172x=5160×100

172x=516000

x=516000172=3000

Now, substitute the value of x back into the total fund expression (10x):

Original Amount of Fund=10×3000=Rs. 30,000

Thus, the original amount of the fund was Rs. 30,000.

Unlock Our Free Library

Access expert-curated educational resources and study materials—completely free.

Discover more resources

You may also like

Mock Tests

View All
  • CTET
  • intermediate
  • No time limit
  • child development and pedagogy, mathematics, social science

  • SSC
  • intermediate
  • 2 hours and 30 mins
  • child development and pedagogy, mathematics, social science

Ask AI Tutor
5 left
Q1 View Question & Options
AI Tutor is solving this question...
Reading question context & options...