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### Simple and Compound Interest

A sum of money at simple interest amounts to Rs. 815 in 3 years and to Rs. 854 in 4 years. The sum is:

Rs. 650

Rs. 690

Rs. 698

Rs. 700

Solutions

S.I. for 1 year = Rs. (854 - 815) = Rs. 39.
S.I. for 3 years = Rs.(39 x 3) = Rs. 117.
Principal = Rs. (815 - 117) = Rs. 698.

Mr. Thomas invested an amount of Rs. 13,900 divided in two different schemes A and B at the simple interest rate of 14% p.a. and 11% p.a. respectively. If the total amount of simple interest earned in 2 years be Rs. 3508, what was the amount invested in Scheme B?

Rs. 6400

Rs. 6500

Rs. 7200

Rs. 7500

Solutions

Let the sum invested in Scheme A be Rs. x and that in Scheme B be Rs. (13900 - x).
Then, (x × 14 × 2)/100 + (13900 - x)× 11 ×2 / 100 = 3508
28x - 22x = 350800 - (13900 x 22)
6x = 45000
x = 7500.

A sum fetched a total simple interest of Rs. 4016.25 at the rate of 9 p.c.p.a. in 5 years. What is the sum?

Rs. 4462.50

Rs. 8032.50

Rs. 8900

Rs. 8925

Solutions

Rs. (100 × 4016.5 / 9 × 5
Rs 8925)

How much time will it take for an amount of Rs. 450 to yield Rs. 81 as interest at 4.5% per annum of simple interest?

3.5 years

4 years

4.5 years

5 years

Solutions

Time = (100 x 81) / 450 × 4.5 years
4 years

Reena took a loan of Rs. 1200 with simple interest for as many years as the rate of interest. If she paid Rs. 432 as interest at the end of the loan period, what was the rate of interest?

3.6

5

6

7

Solutions

Let rate = R% and time = R years.
(1200 x R x R / 100) = 432
12R2 = 432
R2 = 36
R = 6

A sum of Rs. 12,500 amounts to Rs. 15,500 in 4 years at the rate of simple interest. What is the rate of interest?

3%

4%

5%

6%

Solutions

S.I. = Rs. (15500 - 12500) = Rs. 3000.
Rate = (100 x 3000 / 12500 x 4)% = 6%

A man took loan from a bank at the rate of 12% p.a. simple interest. After 3 years he had to pay Rs. 5400 interest only for the period. The principal amount borrowed by him was:

Rs. 2000

Rs. 10,000

Rs. 15,000

Rs. 20,000

Solutions

Principle = Rs(100 x 5400 / 12 x 3) = Rs 15000

A sum of money amounts to Rs. 9800 after 5 years and Rs. 12005 after 8 years at the same rate of simple interest. The rate of interest per annum is:

5%

8%

12%

15%

Solutions

S.I. for 3 years = Rs. (12005 - 9800) = Rs. 2205.
S.I. for 5 years = Rs. (2205/3x 5) = Rs. 3675
Principal = Rs (9800 - 3675) = Rs 6125.
Hence, rate = (100 x 3675/6125 x5)% = 12%

Find the principle on a certain sum of money at 5% per annum for 2.4 years if the amount being Rs.1120?

Rs.1000

Rs.1100

Rs.1050

Rs.1200

Solutions

1120 = P [1 + (5*12/5)/100]
P= 1000

What sum of money will produce Rs.70 as simple interest in 4 years at 3 1/2 percent?

Rs.525

Rs.500

Rs.550

Rs.555

Solutions

70 = (P*4*7/2)/100
P = 500

At what rate percent on simple interest will Rs.750 amount to Rs.900 in 5 years?

5%

3 1/2%

4%

5 1/2 %

Solutions

150 = (750*5*R)/100
R = 4%

What is the rate percent when the simple interest on Rs.800 amount to Rs.160 in 4 Years?

5%

6%

4 1/2%

3 1/2 %

Solutions

160 = (180*4*R)/100
R = 5%

Find the simple interest on Rs.500 for 9 months at 6 paisa per month?

Rs.345

Rs.270

Rs 275

Rs 324

Solutions

I = (500*9*6)/100 = 270

Ram invested Rs. 15000 @ 10% per annum for one year. If the interest is compounded half-yearly, then the amount received by Ram at the end of the year will be?

Rs. 16,500

Rs. 16,525.50

Rs. 16,537.50

Rs. 18,150

A man saves Rs. 200 at the end of each year and lends the money at 5% compound interest. How much will it become at the end of 3 years?

Rs. 565.25

Rs. 635

Rs. 662.02

Rs. 666.50

What will be the compound interest on a sum of Rs. 25,000 after 3 years at the rate of 12% p.a.?

Rs. 9000.30

Rs. 9720

Rs. 10123.20

Rs. 10483.20

Shohaib invested Rs. 8000 in a scheme for 2 years at compound interest rate 5% p.a. How much amount will Shohaib get on maturity of the fixed deposit?

Rs. 8600

Rs. 8620

Rs. 8800

None of these

Afnan wants to borrow Rs.6000 at rate of interest 6% p.a. at S.I and lend the same amount at C.I at same rate of interest for two years. What would be his income in the above transaction?

Rs.21.60

Rs.24.00

Rs.25.20

Rs.27.80

Rayan invested certain amount for two rates of simple interests at 6% p.a. and 7% p.a. What is the ratio of Rayanâ€™s investments if the interests from those investments are equal?

4 : 3

3 : 2

6 : 5

7 : 6

The simple interest on Rs.12000 at a certain rate of interest in five years is Rs.7200. Find the compound interest on the same amount for five years at the same rate of interest.

Rs.3502.80

Rs.3052.40

Rs.3054.8

Rs.3052.80

What is the difference between the compound interest on Rs.12000 at 20% p.a. for one year when compounded yearly and half yearly?

Rs.140

Rs.120

Rs.130

Rs.110

The compound and the simple interests on a certain sum at the same rate of interest for two years are Rs.11730 and Rs.10200 respectively. Find the sum.

Rs.18000

Rs.17000

Rs.18500

Rs.17500

A person got Rs.48 more when he invested a certain sum at compound interest instead of simple interest for two years at 8% p.a. Find the sum?

Rs.7500

Rs.7000

Rs.8000

Rs.6500

The compound interest accrued on an amount of Rs.44000 at the end of two years is Rs.1193.60. What would be the simple interest accrued on the same amount at the same rate in the same period?

Rs.10,840

Rs.10,720

Rs.10,560

Rs.10,280

The simple interest accrued on an amount of Rs.49500 at he end of three is Rs.17820. What would be the compound interest accured on the same amount at teh same rate in the same period? (Round off your answer to two decimal places)

Rs.20043.94

Rs.18654.81

Rs.20264.46

Rs.19612.41

A man gets a simple interest of Rs.500 on a certain principal at the rate of 5% p.a in two years. Find the compound interest the man will get on twice the principal in two years at the same rate.

Rs.500

Rs.250

Rs.5012.50

None of these

A sum of Rs.4800 is invested at a compound interest for three years, the rate of interest being 10% p.a., 20% p.a. and 25% p.a. for the 1st, 2nd and the 3rd years respectively. Find the interest received at the end of the three years.

Rs.2520

Rs.3120

Rs.3320

Rs.2760

Compound interest earned on a sum for the second and the third years are Rs.1200 and Rs.1440 respectively. Find the rate of interest?

18% p.a.

22% p.a.

20% p.a.

24% p.a.

Jameel invested an amount of Rs.17400 for two years. Find the rate of compound interest that will fetch him an amount of Rs.1783.50 at the end of two years?

8% p.a.

6% p.a.

4% p.a.

5% p.a.

The compound interest earned by Sunil on a certain amount at the end of two years at the rate of 8% p.a. was Rs.2828.80. Find the total amount that Sunil got back at the end of two years in the form of principal plus interest earned.

Rs.18,828.80

Rs.19,828.80

Rs.18,028.80

Rs.17,828.80

What amount does Kiran get if he invests Rs.8000 at 10% p.a. compound interest for two years, compounding done annually?

Rs.9630

Rs.9680

Rs.9610

None of these

Find the amount on Rs.5000 in 2 years, the rate of interest being 4% per first year and 5% for the second year?

Rs.460

Rs.5640

Rs.5460

Rs.5604

A money lender lends Rs.2000 for six months at 20% p.a. rate. It the interest is reckoned quarterly than find the amount given after time limit.

Rs.2205

Rs.2200

Rs.2160

Rs.2040

How much more would Rs.20000 fetch, after two years, if it is put at 20% p.a. compound interest payable half yearly than if is put at 20% p.a. compound interest payable yearly?

Rs.482

Rs.424

Rs.842

Rs.512

Sehar gave Shazia Rs.1250 on compound interest for 2 years at 4% per annum. How much loss would Sehar has suffered had she given it to Shazia for 2 years at 4% per annum simple interest?

Rs.10

Rs.2

Rs.5

Rs.3

Rajan borrowed Rs.4000 at 5% p.a compound interest. After 2 years, he repaid Rs.2210 and after 2 more year, the balance with interest. What was the total amount that he paid as interest?

Rs.635.50

Rs.613.50

Rs.675.50

Rs.653.50

Every year an amount increases by 1/8th of itself. How much will it be after two years if its present value is Rs.64000?

Rs.81000

Rs.80000

Rs.75000

Rs.64000

Find the amount on Rs.8000 in 9 months at 20% per annum, if the interest being compounded quarterly?

Rs.1261

Rs.9261

Rs.9621

Rs.9162

What sum of money put at C.I amounts in 2 years to Rs.8820 and in 3 years to Rs.9261?

Rs.8000

Rs.8400

Rs.7500

None

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