Aptitude - Compound Interest

The least number of complete years in which a sum of money put out at 20% compound interest will be more than doubled is:

A.  3

B.  4

C.  5

D.  6

View Answer  

Correct Answer :

4



Explanation :

P ( 1 + (20/100) )ⁿ > 2P

=> (6/5)ⁿ > 2

Now, [ (6/5) x (6/5) x (6/5) x (6/5) ]ⁿ > 2

So, n = 4 years


There is 60% increase in an amount in 6 years at simple interest. What will be the compound interest of Rs. 12,000 after 3 years at the same rate?

A.  Rs. 2972

B.  Rs. 3120

C.  Rs. 3972

D.  Rs. 4120

View Answer  

Correct Answer :

Rs. 3972



Explanation :

Let P = Rs. 100. Then, S.I = Rs. 60 and T = 6 years

=> R = [ (100 x 60) / (100 x 6) ] = 10% p.a

Now, P = Rs. 12000. T = 3 years and R = 10% p.a

=> C.I = Rs. [ 1200 x { (1 + 10 / 100)³ - 1 } ]

=> C.I = Rs. [ 12000 x (331 / 1000) ]

=> C.I = Rs. 3972


The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 4% per annum is Re. 1. The sum (in Rs.) is:

A.  625

B.  630

C.  635

D.  640

View Answer  

Correct Answer :

625



Explanation :

Let the Principal be P, then

C.I = P x ( 1 + (4/100) )² - P = 51P/625

S.I = P x 4 x 2 / 100 = 2P/25

=> C.I - S.I = 1 = (51P/625) - (2P/25)

=> P = Rs. 625/-


A bank offers 5% compound interest calculated on half-yearly basis. A customer deposits Rs. 1600 each on 1st January and 1st July of a year. At the end of the year, the amount he would have gained by way of interest is:

A.  Rs. 119

B.  Rs. 120

C.  Rs. 121

D.  Rs. 122

View Answer  

Correct Answer :

Rs. 121



Explanation :

Amount = Rs. [ 1600 x ( 1 + 5 / (2 x 100) )² + 1600 x ( 1 + 5 / (2 x 100) )­² ]

            = Rs. [ 1600 x (41/40) x (41/40) + 1600 x (41/40) ]

            = Rs. [ (1600 x 41 x 81) / (40 x 40) ]

            = Rs. 3321

=> C.I = Rs. (3321 - 3200) = Rs. 121


Mr. Amin borrowed some money from Mr Vishwas. The of interest for first two years is 8% p.a., for the next tit years is 11 % p.a. and for the period beyond 5 years I p.a. Mr Vishwas got an amount of 210920 as an intere the end of eight years. Then what amount was borrowed  MrAmin?

A.  ?12000

B.  ?15000

C.  ?1400

D.  Data inadequate

E.  None of these

View Answer  

Correct Answer :

?12000



Explanation :
No Explanation available for this question

What will be the simple interest accured on a sum of Rs. 5,224 at a rate of 5 p.c.p.a. in 5 years?  

A.  Rs. 1,360

B.  Rs. 653

C.  Rs. 763

D.  Rs. 1,206

E.  None of these

View Answer  

Correct Answer :

None of these



Explanation :
No Explanation available for this question

Difference between the compound interest and the simple interest accrued on an amount of Z 18000, in two years was ?405 What was the rate of interest p.c.p.a?

A.  16

B.  12

C.  15

D.  Cannot be determined

E.  None of these

View Answer  

Correct Answer :

15



Explanation :
No Explanation available for this question

Raviraj invested an amount of ?10,000 at compound interest of 10 pcpa for a period of three years. How much amount, Raviraj get after three years?

A.  ?12,310

B.  ?13,210

C.  ?13,320

D.  ?13,120

E.  None of these

View Answer  

Correct Answer :

None of these



Explanation :
No Explanation available for this question

What would be the compound interest obtained on an amount of rs 8,800/- at the rate of 16 p.c.p.a. after 2 years?

A.   3,041.25/-

B.  3,014.28/-

C.  3,044.69/-

D.   3,041.28/-

E.  None of these

View Answer  

Correct Answer :

3,041.28/-



Explanation :
No Explanation available for this question

The simple interest accrued on a sum of certain principal is Rs. 2,000/- in five years at the rate of p.c.p.a. What would be the compound interest accrued on a principal at same rate in two years?

A.  Rs. 716/-

B.  Rs. 724/-

C.  Rs. 824/-

D.  Rs. 816/-

E.  None of these

View Answer  

Correct Answer :

Rs. 816/-



Explanation :
No Explanation available for this question

Nelson borrowed some money at the rate of 6 p.c.p.a. for the first three years, 9 p.c.p.a. for the next five years and 13 p.c.p.a. for theperiod beyond eight years. If the total interest paid by him at the end of eleven years is F 8,160, how much money did he borrow?

A.  12,000

B.  10,000

C.  8,000

D.  Data inadequate

E.  None of these

View Answer  

Correct Answer :

8,000



Explanation :
No Explanation available for this question

On ? 3,000 in Vested at a simple interest rate 6 p.c.p.a, ? 900 is obtained as interest in certain years. In order to earn ? 1,600 as interest on ? 4,000 in the same number,of years, what Should be the rate of simple interest?

A.  7 p.c.p.a.

B.  8p.c.p.a.

C.  9 p.c.p.a.

D.  Data inadequate

E.  None of these

View Answer  

Correct Answer :

8p.c.p.a.



Explanation :
No Explanation available for this question

The compound interest on a certain amount for 2 years at the rate of 8 p.c.p.a. is Rs.312. What will be the simple interest on the same amount and at the same rate and same time?

A.  Rs. 349.92

B.  Rs. 300

C.  Rs. 358.92

D.  Rs. 400

E.  None of these

View Answer  

Correct Answer :

Rs. 300



Explanation :
No Explanation available for this question

A person borrows rs.5000 for 2 years at 4% p.a. simple interest. He immediately lends it to another person at 6 1/4 % p.a. for 2 years. Find his gain in the transaction per year

A.  ?112.50

B.  ?125

C.  ?150

D.  ?167.50

E.  None of these

View Answer  

Correct Answer :

?112.50



Explanation :
No Explanation available for this question

What will be the ratio of simple interest earned by certain amount at the same rate of interest for 6 years and that for 9 years?

A.  1 : 3

B.  1 : 4

C.  2 : 3

D.  Data inadequate

E.   None of these

View Answer  

Correct Answer :

2 : 3



Explanation :
No Explanation available for this question

The simple interest in 14 months on a certain sum at the rate of 6 per cent per annum is F 250 more than the interest on the same sum at the rate of 8 per cent in 8 months. How much amount was borrowed?

A.  ?15000

B.  ?25000

C.  ?7500

D.  ?14500

E.  None of these

View Answer  

Correct Answer :

?15000



Explanation :
No Explanation available for this question

Rs.7,50,000 are invested in Rs. 100 shares which are quoted at Rs.1200. Find the income if 25 % dividend is declared on the shares.

A.  1560

B.  15625

C.  15600

D.   16500

View Answer  

Correct Answer :

15625



Explanation :
No Explanation available for this question

What amount a man would have received on a principal of RS.4,000 after two years on simple interest @ 5 p.c.p.a.?

A.  Rs. 4,161

B.  Rs. 5,200

C.  Rs. 4,400

D.  Rs. 4,100

E.  Rs. 4,190

View Answer  

Correct Answer :

Rs. 4,400



Explanation :
No Explanation available for this question

The price of a T.V. set worth F 20,000 is to paid in 20 instalments of Z 1000 each. If the rate of interest be 6% per annum, and the first instalment be paid at the time of purchase, then the value of the last instalment covering the interest as well will be

A.  ?1050

B.  ?2050

C.  ?3000

D.  None of these

E.  ?2020

View Answer  

Correct Answer :

None of these



Explanation :
No Explanation available for this question

Amrita took a loan of Rs. 50,600/- at a certain rate of simple interest for 5 years. At the end of 5 years she repayed an amount of Rs 65,780/-. What is the rate of interest at which Amrita took the loan?

A.  5 p.c.p.a.

B.  4 p.c.p.a.

C.  8 p.c.p.a.

D.  6 p.c.p.a.

E.  None of these

View Answer  

Correct Answer :

6 p.c.p.a.



Explanation :
No Explanation available for this question

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?

A.  3.5years

B.  4years

C.  4.5years

D.  5years

View Answer  

Correct Answer :

4years



Explanation :
No Explanation available for this question

What is the ratio of the number of aspirants appearing for the banking exam from Institute A,C, and E together to the number of aspirants appearing for the exam from Institute B, D and F together?

A.  27/33

B.  9/12

C.  11/9

D.   33/25

View Answer  

Correct Answer :

11/9



Explanation :
No Explanation available for this question

What annual instalment will discharge a debt of 4,200 due in 5 yearsat 10% simple interest?

A.  ?500 per year

B.  ?600 per year

C.  ?700 per year

D.  ?800 per year

E.  None of these

View Answer  

Correct Answer :

?700 per year



Explanation :
No Explanation available for this question

Nikhilesh invested certain amount in three different schemes A, B and C with the rate of interest 10 p.c.p.a., 12 p.c.p.a. and 15 p.c.p.a.. respectively. If the total interest accrued in one year was ? 3200 and the amount invested in scheme C was 150% of the amount invested in scheme A and 240% of the amount Invested in scheme B, what was the amount invested in scheme B?

A.  ?8000

B.  ?5000

C.  ?6500

D.  Cannot be determined

E.   None of these

View Answer  

Correct Answer :

?5000



Explanation :
No Explanation available for this question

What would be the compound interest obtained on an amount of 12600 Rs at the rate of 10% per annum after two years?

A.  2,520 Rs

B.  2,400 Rs

C.  2,600 Rs

D.  2,646 Rs

E.  2,746 Rs

View Answer  

Correct Answer :

2,646 Rs



Explanation :
No Explanation available for this question

Rohan and Sohan started a business with investments of Rs 15000 and Rs 20000. Rohan continued till the end of the first year and Sohan left after x months. Their profits at the end of the first year were equal. Find x.

A.  8

B.  9

C.  10

D.  11

View Answer  

Correct Answer :

9



Explanation :
No Explanation available for this question

A milk man borrowed ?2,500 from two money lenders. For one loan, he paid 5% p.a. and for the other, he paid 7% p.a. The total interest paid for two years was Z 275. How much did he borrow at 7% rate?

A.  ?600

B.  ?625

C.  ?650

D.  ?675

E.  None of these

View Answer  

Correct Answer :

?625



Explanation :
No Explanation available for this question

Amit invests Rs. 9000 partly in 5%, Rs. 167 Shares @ Rs.240 and partly in 3% Rs. 700 shares @ Rs.850. If his total income is 500, how much has he invested in each?

A.  Rs. 5000 and Rs.4000

B.  Rs. 3000 and Rs. 6000

C.  Rs. 2000 and Rs. 7000

D.   None of these

View Answer  

Correct Answer :

None of these



Explanation :
No Explanation available for this question

What would be the compound interest obtained on an amount of Rs. 6,350/- at the rate of 14 p.c.p.a after two years?

A.  Rs. 1898.68

B.  Rs. 1924.82

C.  Rs. 1834.24

D.  Rs. 1902.46

E.  None of these

View Answer  

Correct Answer :

Rs. 1902.46



Explanation :
No Explanation available for this question

Manju took Rs. 20000 at 5% SI for 2 years and invested it at 4% CI for same period. Find her gain/loss.

A.  Rs. 368 gain

B.  Rs.423 gain

C.  Rs. 368 loss

D.  Rs. 200 gain

View Answer  

Correct Answer :

Rs. 368 loss



Explanation :
No Explanation available for this question