i m a house wife and earned more than Rs 10000 as an int. i hav 2 pay income tax. how much?

I am a house wife and i have earned more than Rs10000 in a year as an interest. so do i have to pay the income tax. if yes how much. please suggest me some methods how to save my money and pay minimum tax. I do not have much money. and also i don’t want to invest my money in post offices. is there any rebate if i deposit my money in recurring deposits? if yes than how much. please suggest me.

What is Mutual funds? How can I earn from It? I want to invest Rs. 10000. Where I can start?

I want to invest 10000/- in Mutual funds. Kindly please tell me what is mutual funds and how can I invest in it. Please tell me the step by step procedure for documents required and from where to start.
How and when I have to pay 10000/- or if there is any other option available. and also tell me how can I earn from mutual funds.
Serious Answers Please…………………..