Labor Inspector 2020

A man has Rs 10,000 to invest. He invests Rs 4,000 at 5% and Rs 3,500 at 4%. In order to have a yearly income of Rs 500, he must invest the remaining Rs 2,500 at what rate of investment?

A) 2%

B) 6.4%

C) 10.7%

D) 12%

Income from 4000 at 5 % in one year = 4000 of 5 %.

=   4000 × 5/100.

=   200.

Income from 3500 at 4 % in one year = 3500 of 4 %.

=   3500 × 4/100.

=   140.

Total income from 4000 at 5 % and 3500 at 4 % =  200 +  140 =  340.

Remaining income amount a yearly income of  500=500 – 340.=  160.

Total invested amount = 4000 + $ 500 = 7500.

Remaining invest amount =  10000 –  7500 =  2500.

We know that, Interest = Principal × Rate × Time

Interest = 160,

Principal = 2500,

Rate = r [we need to find the value of r],

Time = 1 year.

160 = 2500 × r × 1.

160 = 2500r

160/2500 = 2500r/2500

0.064 = r

r = 0.064

Change it to a percent by moving the decimal to the right two places r = 6.4 %

Therefore, he invested the remaining amount $ 2500 at 6.4 % in order to get  500 income every year.

  1. Pages:
  3. 1
  4. 2
  5. 3
  6. 4
  7. 5
  8. 6
  9. 7
  10. 8
  11. 9
  12. 10