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NIELIT 2019 Feb Scientist D - Section C: 16

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The rates of simple interest in two banks $A$ and $B$ are in the ratio $5: 4$. A person wants to deposit his total savings in two banks in such a way that he received equal half-yearly interest from both. He should deposit the savings in Banks $A$ and $B$ in the ratio:

  1. $5:2$
  2. $2:5$
  3. $4:5$
  4. $5:4$

1 Answer

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Correct option is C

 Let the rates of simple interest in bank A and bank B be 5R% and 4R% p.a. respectively and the amounts invested in the banks respectively be Rs. x and Rs. y.
Then, x×1×1/2x5R​/100 = y×1×1/2x4R/100​
⇒x/y=4/5

⇒x:y=4:5.
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