Raju lent Rs.400 to Ajay for 2 years and Rs.100 to manoj for 4 years and received from both Rs.60 as collective interest. Find the rate of interest, Simple interest being calculated.
A5%
B6%
C8%
D9%
Answer:
A. 5%
Read Explanation:
According to the question
(R x 400 x 2)/100 + (R x 100 x 4)/100 = 60
12R = 60
R = 60/12 = 5%