Rs 5200 is invested at 8% per annum simple interest. If the sum is withdrawn after 5 years and half the amount is invested in the stock market, then what will be the remaining amount (in Rs)?

This question was previously asked in
RPF SI (2018) Official Paper (Held On: 24 Dec, 2018 Shift 1)
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  1. 3480
  2. 3640
  3. 2680
  4. 4260

Answer (Detailed Solution Below)

Option 2 : 3640
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Detailed Solution

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Given:

Principal (P) = Rs 5200

Rate of Interest (R) = 8% per annum

Time (T) = 5 years

Formula Used:

Simple Interest (SI) = (P × R × T) / 100

Calculation:

Simple Interest (SI) = (5200 × 8 × 5) / 100

⇒ SI = 2080

Total Amount after 5 years = Principal + Simple Interest

Total Amount = 5200 + 2080

⇒ Total Amount = 7280

Half of the amount is invested in the stock market.

Amount invested in stock market = 7280 / 2

⇒ Amount invested in stock market = 3640

Remaining Amount = Total Amount - Amount invested in stock market

⇒ Remaining Amount = 7280 - 3640

⇒ Remaining Amount = 3640

The remaining amount is Rs 3640.

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