StreakPeaked· Practice

ExamsSSC CGL (Prelims)General

Priya borrowed ₹40,000 from two lenders under simple-interest terms: Lender M charges 8% p.a. and Lender N charges 5% p.a. Priya kept both loans for exactly 5 years and then paid the accumulated interest, which was ₹14,000. If she had interchanged the principal amounts, her five-year interest outgo would have been ₹2,000 less. How much did she borrow from Lender M at 8% p.a.?

  1. ₹ 25,000
  2. ₹ 22,000
  3. ₹ 26,667
  4. ₹ 16,000

Correct answer: ₹ 26,667

Solution

Let the amount borrowed from M be x and from N be 40000 - x. The 5-year interest is 0.4x + 0.25(40000 - x) = 14000, which gives x = 26666.67. This matches ₹26,667, and swapping the principals reduces the interest by ₹2000 as stated.

Related SSC CGL (Prelims) General questions

⚔️ Practice SSC CGL (Prelims) General free + battle 1v1 →