IIFT 2012 Question Paper Question 27

Question 27

Mr. Mishra invested Rs.25,000 in two fixed deposits X and Y offering compound interest @ 6% per annum and 8% per annum respectively. If the total amount of interest accrued in two years through both fixed deposits is Rs.3518, the amount invested in Scheme X is

Solution

Let the amount invested in X = x
Thus, the amount invested in Y = 25000-x
The interest incurred = 3518 Rs, thus the total amount at the end of the 2nd year = 28518 Rs.
Thus, $$x*(1.06)^2 + (25000-x)*(1.08)^2 = 28518$$
=> $$x*1.1236 + 25000*1.1664 - x*1.1664 = 28518$$
=> $$-0.0428x + 29160 = 28518$$
=> $$ 642 = 0.0428x$$
Hence, $$x = 15000 Rs$$
Hence, option C is the correct answer.



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