samestudy

Jinesh borrows Rs.8000 for 3 years at 5% p.a. simple interest. He immediately lends it to Vineeth at 6¼% p.a for 3 years. Find his gain in the transaction.
 a) 225
 b) 112.5
 c) 250
 d) 300

300. Solution Simple interest at 5% for 3 years ,SI = (8000 x 5 x 3)/100 = 1200 Simple interest at 6¼% for 3 years, SI =(8000 x 6¼ x 3)/100 = 1500 Gain of Jinesh in the transaction = 1500 - 1200 = Rs. 300