Simple interest on a certain sum of money for 3 years at 8% per annum is half the compound interest on Rs. 4000 for 2 years at 10% per annum. The sum placed on simple interest is:

Solution (By Examveda Team)

$$\eqalign{ & {\text{C}}{\text{.I}}{\text{.}}\, = Rs.\,\left[ {4000 \times {{\left( {1 + \frac{{10}}{{100}}} \right)}^2} - 4000} \right] \cr & \,\,\,\,\,\,\,\,\,\,\,\,\, = Rs.\,\left( {4000 \times \frac{{11}}{{10}} \times \frac{{11}}{{10}} - 4000} \right) \cr & \,\,\,\,\,\,\,\,\,\,\,\,\, = Rs.\,840 \cr & \therefore {\text{Sum}} = Rs.\,\left( {\frac{{420 \times 100}}{{3 \times 8}}} \right) \cr & \,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\, = Rs.\,1750 \cr} $$