Question

Rajiv lent Rs 4000 to Akash for 3 years and Rs 6000 for 4 years at same rate of interest on simple interest and received Rs 7200 as collective interest. What is the rate of interest?
1. 5%
2. 20%
3. 10%
4. 40%

Answer 1

Correct Answer - Option 2 : 20%

Calculation:

4000 × R% × 4 + 6000 × R% × 4 = 7200

360 R = 7200

R = 20%