--- type: Quiz title: "Compound Interest – MCQ Practice Set for Mathematics" canonical: "https://www.easy2crack.com/mcqs/compound-interest/compound-interest-mcq-practice-set-for-mathematics" subject: compound-interest questions: 133 free: true updated: null tags: ["mcq", "practice", "compound-interest"] --- # Compound Interest – MCQ Practice Set for Mathematics 133 multiple-choice questions with answers. ## Q1. A certain sum is deposited for 4 years at a rate of 10% per annum on compound interest compounded annually. The difference between the interest at the end of 2 years and that at the end of 4 year is Rs. 5082. Find the sum (in Rs.) A. 2000 B. 25500 C. 50820 D. 1016 **Answer:** a ## Q2. A sum invested at compound interest amounts to Rs. 7,800 in 3 years and Rs. 11,232 in 5 years. What is the rate per cent? A. 0.26 B. 0.2 C. 0.15 D. 0.18 **Answer:** a ## Q3. A sum of money was borrowed and paid back in two equal annual instalments of Rs. 980, allowing 4% compound interest. The sum (in Rs, to the nearest tens) borrowed was: A. 1850 B. 1960 C. 1760 D. 2050 **Answer:** d ## Q4. A sum of Rs. 4,620 is to be paid back in 2 equal annual instalments. How much is each instalment (in Rs.) if the interest is compounded annually at 10% per annum? A. 2662 B. 2420 C. 2552 D. 2750 **Answer:** c ## Q5. What is the amount (in Rs.) of a sum of Rs.32,000 at 20% per annum for 9 months, compounded quarterly? A. 32000 B. 35087 C. 30876 D. 3044 **Answer:** a ## Q6. Joseph deposited a total of Rs.52,500 in a bank in the names of his two daughters aged 15 years and 16 years in such a way that they would get equal amounts when they become 18 years old. If the bank gives 10% compound interest compounded annually, then what is the amount (in Rs.) that Joseph had deposited in the name of his younger daughter ? A. 25500 B. 26000 C. 24500 D. 25000 **Answer:** b ## Q7. A sum of Rs.18,000 becomes Rs.21,780 after 2 years on compound interest compounded annually. What will be the compound interest (in Rs.) on the same sum for the same period if the rate of interest increases by 5%? A. 1845 B. 4670 C. 5805 D. 5500 **Answer:** c ## Q8. The compound interest on a certain sum of money at 21% p.a. for 2 years is Rs 11,138.40 (interest compounded yearly). The total amount received (in Rs) after 2 years is: A. 35138.4 B. 28315.4 C. 31538.4 D. 24000.5 **Answer:** b ## Q9. What is the compound interest (in Rs) at the rate of 10%, compounded annually, for 3 years on the principal which in 8 years at the rate of 12% per annum gives Rs 4,800 as simple interest? A. 1505 B. 1655 C. 1455 D. 2015 **Answer:** b ## Q10. The difference between compound interest compounded annually and simple interest on a certain sum at a rate of 15% per annum for 2 years is Rs 1,944. Find the compound interest compounded annually (in Rs) on the same sum for the same period at a rate of 10% per annum. A. 18060 B. 27216 C. 18144 D. 20500 **Answer:** d ## Q11. The simple interest on a sum of money at 10% per annum for 4 years is Rs 3,200. What will be the amount (in Rs) of the same sum for the same period at the same rate of interest when the interest is compounded annually? A. 11172.8 B. 11712.8 C. 11127.8 D. 11217.8 **Answer:** b ## Q12. Divide Rs.66,300 between A and B in such a way that the amount that A receives after 8 years is equal to the amount that B receives after 10 years; with compound interest being compounded annually at a rate of 10% per annum. A. A = Rs.35,200, Rs.B = 31,100 B. A = Rs.36,300, Rs.B = 30,000 C. A = Rs.37,000, Rs.B = 29,300 D. A = Rs.35,520, Rs.B = 30,810 **Answer:** a ## Q13. What is the compound interest (in Rs.) on a sum of Rs.62,500 for 2 years at 12% p.a. If the interest is compounded 8-monthly ? A. 18342 B. 13428 C. 16548 D. 16232 **Answer:** d ## Q14. A certain sum amounts to Rs 14,641 in 4 years at 10% p.a. when interest is compounded annually. What will be the amount of the same sum (in Rs) in 3 2/5 years at the same rate at simple interest? A. 14000 B. 13600 C. 13400 D. 13200 **Answer:** c ## Q15. What is the compound interest (in Rs) on a sumof Rs 25,000 for 3 2/5 years at 10% p.a., if the interest is compounded annually? A. 9606 B. 8275 C. 9516 D. 8425 **Answer:** a ## Q16. A certain sum amounts to Rs 11,520 in 4 years at the rate of 15% p.a. simple interest. What will be the amount of the same sum in 2 years at the same rate, if the interest is compounded 8-monthly (nearest to a Rs)? A. Rs 9,853 B. Rs 9,338 C. Rs 9,583 D. Rs 9,538 **Answer:** c ## Q17. The simple interest on a certain sum of P at a rate of r% per annum for 3 years is Rs 11,250 and the compound interest on the same sum for 2 years at the same rate percent p.a. is Rs 7,650. What is the value of P and r, respectively? A. Rs 92500 and 6% B. Rs 92500 and 7% C. Rs 93750 and 4% D. Rs 93750 and 5% **Answer:** c ## Q18. At what rate percentage per annum will Rs 14,400 amount to Rs 15,876 in one year, if interest is compounded half-yearly? A. 0.15 B. 0.12 C. 0.1 D. 0.08 **Answer:** c ## Q19. What is the difference (in Rs) between the interests on Rs 50,000 for one year at 8% per annum compounded half yearly and yearly? A. 70 B. 80 C. 50 D. 100 **Answer:** b ## Q20. A sum of money becomes Rs 11,880 after 4 years and Rs 17,820 after 6 years on compound interest, the interest is compounded annually. What is the half of the sum (in Rs) ? A. 2750 B. 2530 C. 2640 D. 2410 **Answer:** c ## Q21. A loan is to be returned in two equal yearly instalments. If the rate of interest is 10% p.a. compounded annually and each instalment is Rs 5,808, then 60% of the total interest (nearest to a Rs) charged in this scheme is: A. 917 B. 911 C. 913 D. 922 **Answer:** d ## Q22. What is the compound interest (in Rs) on a sum of Rs 8192 for 1 1/4 years at 15% per annum, if interest is compounded 5-montly? A. 1640 B. 1740 C. 1634 D. 1735 **Answer:** a ## Q23. A sum of Rs. 7500 amounts to Rs. 9075 at 10% p.a. interest being compounded yearly in a certain. The simple interest (in Rs.) on the same sum for the same time and the same rate is: A. 1500 B. 1480 C. 1520 D. 1530 **Answer:** a ## Q24. A certain sum amounts to Rs. 291600 in 2 years and to Rs 314928 in 3 years on compound interest compounded annually. How much will be the simple interest (in Rs.) on Rs. 40000 at the same rate for 2 years? A. 7500 B. 6400 C. 8000 D. 9600 **Answer:** b ## Q25. A certain sum becomes Rs. 13650 at 15% p.a. simple interest after 2 years. What will be the amount (in Rs.) of the same sum after 1 year at the same of interest, if the interest is compound half yearly? (nearest to a Rs.) A. 13625 B. 11000 C. 12134 D. 10500 **Answer:** c ## Q26. A borrowed a sum of Rs. 160000 from B at 10% per annum simple interest. At the same time, he lent the same sum to C at the same rate on compound interest, compounded semi- annually for 2 years. Find the amount (in Rs.) earned by A in the whole transaction. A. 4280 B. 4281 C. 2481 D. 2840 **Answer:** c ## Q27. A man borrowed a certain sum and agrees to repay it by paying Rs. 4000 at the end of first year and Rs. 7700 at the end of second year. If the rate of compound interest compounded annually is 10% per annum, then find the sum (in Rs.) A. 11500 B. 11000 C. 9000 D. 10000 **Answer:** d ## Q28. What is the difference (in Rs) between the simple interest and the compound interest on a sum of Rs 8000 for 2 2/5 years at the rate of 10% p.a., when the interest is compounded yearly? A. 152.8 B. 150 C. 155 D. 147.2 **Answer:** d ## Q29. A sum of Rs 3125 amounts to Rs 3515.20 in 3 years at x% p.a., interest being compounded yearly. What will be the simple interest (in Rs) on the same sum and for the same time at (x+2)% p.a.? A. 554 B. 562.5 C. 565.5 D. 550 **Answer:** b ## Q30. The interest (in Rs) to be paid on a sum of Rs 30000 at 15% p.a. after 2 2/3 years if interest compounded yearly, is: A. 12364.5 B. 13642.5 C. 16342.5 D. 14362.5 **Answer:** b ## Q31. A loan is to be returned in two equal yearly installments. If the rate of interest is 10% p.a., compounded annually and each installment is Rs 6534, then the total interest charged (in Rs) is: A. 1728 B. 1867 C. 1642 D. 1579 **Answer:** a ## Q32. At what rate percent per annum will Rs 7,200 amount to Rs 7938 in one year, if interest is compounded half yearly? A. 5 B. 12 C. 8 D. 10 **Answer:** d ## Q33. A person borrowed a sum of Rs 30800 at 10% p.a. for 3 years, interest compounded annually. At the end of two years, he paid a sum of Rs 13268. At the end of 3rd year, he paid Rs x to clear of the debt. What is the value of x? A. 26200 B. 26620 C. 26400 D. 26510 **Answer:** c ## Q34. A sum of Rs 9500 amounts to Rs 11495 in 2 years at a certain rate percent per annum, interest compounded yearly. What is the simple interest (in Rs) on the same sum for the same time and double the rate? A. 3420 B. 3990 C. 3800 D. 4560 **Answer:** c ## Q35. Atul borrowed a sum of Rs12000 and agreed to repay it by paying Rs 4800 at the end of first year and Rs 9240 at the end of second year. What is the rate of compound interest compounded annually? A. 0.1 B. 0.12 C. 8/5% D. 0.08 **Answer:** a ## Q36. What is the difference between the compound interest (in Rs) compounded yearly and compounded half yearly for 18 months at 20% per annum on a sum Rs 12,000? A. 145 B. 165 C. 121 D. 132 **Answer:** d ## Q37. If the difference between the compound interest compounded annually and the simple interest on a certain sum of money for three years at 10% per annum is Rs 279, then the sum (in Rs) is: A. 9000 B. 10000 C. 8000 D. 7500 **Answer:** a ## Q38. A man invests Rs 7,000 at 8% per annum simple interest for 2 years and Rs 10,000 at compound interest at the same rate for the same period, compounded annually. What will be the total interest and the total amount (in Rs) respectively, on maturity? A. 19,784 and 2784 B. 19,784 and 2874 C. 2,784 and 19784 D. 2,748 and 19784 **Answer:** c ## Q39. Varun and Madhur invested Rs 25,000 each in different schemes. Varun earned simple interest at 11% per annum, whereas Madhur earned compound interest at 10% per annum compounded annually. Who received more interest after 2 years and how much? A. Madhur Rs. 302.50 B. Varun, Rs 250 C. Madhur, Rs 250 D. Varun, Rs 500 **Answer:** b ## Q40. Krishan invested a sum of Rs 25,000 in two parts. He earned 11% p.a. simple interest on part 1 and 10% p.a. compound interest compounded annually on part 2. If the total interest received by him after 2 years is Rs 5,370, then find the sum invested on simple interest. A. Rs 12000 B. Rs 12500 C. Rs 13000 D. Rs 11000 **Answer:** a ## Q41. The simple interest on a sum of Rs 8,000 ata certain rate per cent per annum for 3 years is Rs 3,600. What will be the amount (in Rs) of the same sum after 2 years at the same rate, if the interest is compounded 8-monthly? A. 10580 B. 10450 C. 10648 D. 11239 **Answer:** c ## Q42. What will be the compound interest (in Rs) on a sum of Rs 7,200 for 18 months at a rate of 20% per annum, if the interest is compounded half-yearly (nearest to an integer)? A. 2833 B. 2383 C. 3238 D. 2338 **Answer:** b ## Q43. In what time will a sum of Rs 1,25,000 amount to Rs 1,48,877 at 12% per annum, if interest is being compounded half-yearly? A. 3 years B. 1 years C. 1 1/2 years D. 2 1/2 years **Answer:** c ## Q44. The compound interest on a certain sum of money for 3 years, compounded annually, at a rate of interest of 10% per annum is Rs 1,324. The sum is: A. Rs 4,000 B. Rs 5,000 C. Rs 5,500 D. Rs 4,500 **Answer:** a ## Q45. The simple interest on a certain sum of money for 5 years at the rate of 10% per annum is half the compound interest on Rs 5,000 for 2 years at the rate of 10% per annum, interest compounded yearly. The sum placed on simple interest is: A. Rs 1,540 B. Rs 1,050 C. Rs 1,450 D. Rs 1,500 **Answer:** b ## Q46. A sum lent at simple interest amounts to Rs. 6,240.80 in one year and to Rs. 7,563.20 in 4 years. The sum (in Rs) and the rate of interest per annum, respectively, are: A. 5,800, 8.5% B. 6,200, 8.5% C. 6,200, 7.6% D. 5,800, 7.6% **Answer:** d ## Q47. The simple interest on a sum of Rs 12,000 at the end of 5 years is Rs 6,000. What would have been the compound interest on the same sum at the same rate for 3 years when compounded annually? A. Rs 3972 B. Rs 3970 C. Rs 2520 D. Rs 3600 **Answer:** a ## Q48. Find the compound interest (in Rs) on a sum of Rs 7,500 for 4 years if the rate of interest is 20% per annum for the first two years and 10% per annum for the next two years. (The interest is compounded annually.) A. 6558 B. 5658 C. 5586 D. 5568 **Answer:** d ## Q49. The simple interest on a certain sum for 3 years at 12% p.a. is Rs 6,750. What is the compound interest (in Rs) on the same sum for 2 years at 20% p.a., if interest is compounded half-yearly? (rounded off to the nearest Rs) A. 8000 B. 8702 C. 6750 D. 7729 **Answer:** b ## Q50. Anamika paid Rs 4,965 as compound interest on a loan of Rs 15,000 after 3 years when compounded annually. Suman took a loan of Rs 10,000 at the same rate on simple interest. How much interest did Suman pay after 3 years? A. Rs 3000 B. Rs 3500 C. Rs 4500 D. Rs 4000 **Answer:** a ## Q51. The compound interest (in Rs, to the nearest integer) on Rs 8,950 for 2 years at the rate of 9% per annum, compounded annually, is: A. 1523 B. 1683 C. 1685 D. 1468 **Answer:** b ## Q52. What is the compound interest (in Rs) on a sum of Rs 46,000 for 2 2/5 years at 15% per annum, interest being compounded annually (nearest to a Rs)? A. 18458 B. 19458 C. 19485 D. 18485 **Answer:** d ## Q53. A sum of money amounts to Rs 28,224 in 2 years and to Rs 29,635.20 in 3 years when invested on compound interest, compounded annually. What is the sum of money? A. Rs 26,880 B. Rs 25,600 C. Rs 26,000 D. Rs 26,095 **Answer:** b ## Q54. A sum of Rs 2,432 amounts to Rs 2,681.28 in 2 years at a certain rate per cent per annum, interest compounded yearly. What will be the simple interest (in Rs) on the same sum for 4 3/8 years at double the same rate? A. 1276.8 B. 1368 C. 1094.4 D. 1064 **Answer:** d ## Q55. A man invested a total of Rs. 12,050 in two parts, one at 10% p.a. simple interest for 2 years and the other at the same rate at compound interest, interest being compounded annually, for the same time. The amounts he received from both the parts are equal. The sum (in Rs.) invested at the compound interest is: A. 5850 B. 6000 C. 5780 D. 5800 **Answer:** b ## Q56. The simple interest on a certain sum for 3 1/2 years at the rate of 10% per annum is Rs. 2,940. What will be the compound interest (in Rs.) on the same sum for 1 1/2 years at the same rate when interest is compounded half-yearly (nearest to a rupee)? A. 1564 B. 1125 C. 1470 D. 1324 **Answer:** d ## Q57. A mobile phone is available for Rs. 79,860 by cash payment or by paying cash of Rs. 60,000 as down payment and the remaining amount in three equal annual instalments. If the shopkeeper charges interest at the rate of 10% per annum compounded annually, then the amount of each instalment (in Rs.) will be: A. 6789 B. 7986 C. 6000 D. 6689 **Answer:** b ## Q58. In how many years, the compound interest, if compounded annually on a sum of Rs. 60,000 at rate of 8% per annum is Rs. 9,984? A. 3 B. 2 C. 4 D. 1 **Answer:** c ## Q59. The compound interest on a certain sum of money for 3 years, compounded annually, at a rate of interest of 10% per annum is Rs 1,324. The sum is: A. Rs 4,000 B. Rs 5,000 C. Rs 5,500 D. Rs 4,500 **Answer:** a ## Q60. The simple interest on a certain sum of money for 5 years at the rate of 10% per annum is half the compound interest on Rs 5,000 for 2 years at the rate of 10% per annum, interest compounded yearly. The sum placed on simple interest is: A. Rs 1,540 B. Rs 1,050 C. Rs 1,450 D. Rs 1,500 **Answer:** b ## Q61. In what time will a sum of Rs 1,25,000 amount to Rs 1,48,877 at 12% per annum, if interest is being compounded half-yearly? A. 3 years B. 1 years C. 1 1/2 years D. 2 1/2 years **Answer:** c ## Q62. The simple interest on a sum of Rs 12,000 at the end of 5 years is Rs 6,000. What would have been the compound interest on the same sum at the same rate for 3 years when compounded annually? A. Rs 3972 B. Rs 3970 C. Rs 2520 D. Rs 3600 **Answer:** a ## Q63. Find the compound interest (in Rs) on a sum of Rs 7,500 for 4 years if the rate of interest is 20% per annum for the first two years and 10% per annum for the next two years. (The interest is compounded annually.) A. 6558 B. 5658 C. 5586 D. 5568 **Answer:** d ## Q64. A sum lent at simple interest amounts to Rs. 6,240.80 in one year and to Rs. 7,563.20 in 4 years. The sum (in Rs) and the rate of interest per annum, respectively, are: A. 5,800, 8.5% B. 6,200, 8.5% C. 6,200, 7.6% D. 5,800, 7.6% **Answer:** d ## Q65. Anamika paid Rs 4,965 as compound interest on a loan of Rs 15,000 after 3 years when compounded annually. Suman took a loan of Rs 10,000 at the same rate on simple interest. How much interest did Suman pay after 3 years? A. Rs 3000 B. Rs 3500 C. Rs 4500 D. Rs 4000 **Answer:** a ## Q66. The compound interest (in Rs, to the nearest integer) on Rs 8,950 for 2 years at the rate of 9% per annum, compounded annually, is: A. 1523 B. 1683 C. 1685 D. 1468 **Answer:** b ## Q67. The simple interest on a certain sum for 3 years at 12% p.a. is Rs 6,750. What is the compound interest (in Rs) on the same sum for 2 years at 20% p.a., if interest is compounded half-yearly? (rounded off to the nearest Rs) A. 8000 B. 8702 C. 6750 D. 7729 **Answer:** b ## Q68. What is the compound interest (in Rs) on a sum of Rs 46,000 for 2 2/5 years at 15% per annum, interest being compounded annually (nearest to a Rs)? A. 18458 B. 19458 C. 19485 D. 18485 **Answer:** d ## Q69. A sum of Rs 2,432 amounts to Rs 2,681.28 in 2 years at a certain rate per cent per annum, interest compounded yearly. What will be the simple interest (in Rs) on the same sum for 4 3/8 years at double the same rate? A. 1276.8 B. 1368 C. 1094.4 D. 1064 **Answer:** d ## Q70. A sum of money amounts to Rs 28,224 in 2 years and to Rs 29,635.20 in 3 years when invested on compound interest, compounded annually. What is the sum of money? A. Rs 26,880 B. Rs 25,600 C. Rs 26,000 D. Rs 26,095 **Answer:** b ## Q71. A man invested a total of Rs. 12,050 in two parts, one at 10% p.a. simple interest for 2 years and the other at the same rate at compound interest, interest being compounded annually, for the same time. The amounts he received from both the parts are equal. The sum (in Rs.) invested at the compound interest is: A. 5850 B. 6000 C. 5780 D. 5800 **Answer:** b ## Q72. A mobile phone is available for Rs. 79,860 by cash payment or by paying cash of Rs. 60,000 as down payment and the remaining amount in three equal annual instalments. If the shopkeeper charges interest at the rate of 10% per annum compounded annually, then the amount of each instalment (in Rs.) will be: A. 6789 B. 7986 C. 6000 D. 6689 **Answer:** b ## Q73. In how many years, the compound interest, if compounded annually on a sum of Rs. 60,000 at rate of 8% per annum is Rs. 9,984? A. 3 B. 4 C. 2 D. 1 **Answer:** c ## Q74. A certain sum was invested for three years in a scheme in which the interest gets compounded annually. During the first two years, the scheme provided growths at the rates of 80% and 60%, respectively, but during the third year there was a decline by 40%. What was the overall interest rate for three years? A. 0.225 B. 0.24 C. 0.2 D. 0.486 **Answer:** c ## Q75. A man borrowed money and paid back in two equal annual instalments of Rs 1,089, at 10% compound interest compounded annually for 2 years. What was the sum (in Rs) borrowed? A. 1890 B. 2178 C. 1800 D. 2090 **Answer:** a ## Q76. Amit borrows a sum of Rs 8,000 at 10% p.a. compound interest for 4 years. He repays Rs 2,800 at the end of the first year and Rs 2,600 at the end of the second year. To clear the loan, how much should he pay after 4 years, interest being compounded yearly? A. Rs 4800 B. Rs 4880 C. Rs 4840 D. Rs 4780 **Answer:** c ## Q77. Asum of Rs. 4,000 is lent at 10% p.a., interest compounded annually. What is the difference between the compound interest for the 2 nd year and the 3rd year? A. Rs 44.00 B. Rs 45.40 C. Rs 46.50 D. Rs 45.00 **Answer:** a ## Q78. A sum of Rs. 6,400 invested on the basis of yearly compounding of interest, grows to Rs. 7,056 in two years. What is the percentage rate of interest? A. 4 B. 7.5 C. 5 D. 6.25 **Answer:** c ## Q79. A loan of Rs. 8,925 is to be paid back in two equal half-yearly instalments. How much is each instalment if the interest is compounded half-yearly at 8% per annum? A. Rs. 4,372 B. Rs. 7,732 C. Rs. 4,654 D. Rs. 4,564 **Answer:** b ## Q80. At a certain rate of interest compounded annually, a sum amounts to Rs. 10,890 in 2 years and to Rs. 11,979 in 3 years. The sum is: A. Rs. 9,000 B. Rs. 8,000 C. Rs. 8,500 D. Rs. 9,500 **Answer:** a ## Q81. A sum of money becomes Rs. 3,364 at a rate of 16% compounded annually for 2 years. The sum of money is: A. Rs. 2,500 B. Rs. 1,800 C. Rs. 3,800 D. Rs. 2,200 **Answer:** a ## Q82. The difference between the simple interest and compound interest on Rs. 1,000 for 1 year at 20% per annum, compounded half-yearly, is: A. Rs. 8 B. Rs. 5 C. Rs. 10 D. Rs. 12 **Answer:** c ## Q83. A sum of Rs. 16,875, when invested at r% interest per year compounded annually, amounts to Rs. 19,683 after 2 years. What is the value of r? A. 8 B. 7 C. 6 D. 9 **Answer:** a ## Q84. The dif f erence between the compound interest and the simple interest on a given principal is Rs. 1,725 in 2 years and the rate of interest in both cases is 25% per annum, and in the case when interest is compunded, it is compounded annually. Find the principal. A. Rs. 25,600 B. Rs. 26,500 C. Rs. 26,400 D. Rs. 27,600 **Answer:** d ## Q85. Compute the compound interest on Rs. 8,400 for one and half years at 12% rate of interest per annum, compounded half yearly. A. Rs. 3,276.40 B. Rs. 2,948.60 C. Rs. 3401.30 D. Rs. 1,604.50 **Answer:** d ## Q86. Calculate the difference between the compound interest and the simple interest on a sum of Rs. 5,000 at the rate of 8% for 3 years. (to nearest %) A. Rs. 108 B. Rs. 105 C. Rs. 102 D. Rs. 99 **Answer:** d ## Q87. loan is to be repaid in two equal yearly instalments. If the rate of interest is 10% per annum, compounded annually, and each instalment is Rs. 6,897, then find the total interest charged. A. Rs. 1,644 B. Rs. 1,824 C. Rs. 1,914 D. Rs. 1,734 **Answer:** b ## Q88. The difference between the compound and the simple interests for 3 years at the rate of 20% per annum is Rs. 432. What is the principal lent? A. Rs. 3,378 B. Rs. 3,375 C. Rs. 3,385 D. Rs. 3,380 **Answer:** b ## Q89. Find the compound interest on Rs. 40,000 after 2 years 6 months at 20% per annum, if the interest is compounded half-yearly. A. Rs. 24,820.40 B. Rs. 25,520 C. Rs. 24,420.40 D. Rs. 24,920.40 **Answer:** c ## Q90. What is the difference between the compound interest on Rs. 10,000 for 1 1/2 years at 4% per annum compounded yearly and half-yearly? A. Rs. 4.80 B. Rs. 5.01 C. Rs. 6.02 D. Rs. 4.08 **Answer:** d ## Q91. What is the compound interest on Rs. 20,000 for 9 months at the rate of 4% per annum, when interest is compounded quarterly? A. Rs. 610 B. Rs. 606.02 C. Rs. 609.05 D. Rs. 605 **Answer:** b ## Q92. Romesh opened a fixed deposits account in his bank for 3 years by depositing Rs. 80,000. The bank has promised to pay him compound interest annually at the rate of 7% per annum. What is the maturity value of his FDR? (Nearest to a Rs.) A. Rs. 98,003 B. Rs. 98,970 C. Rs. 98,010 D. Rs. 98,900 **Answer:** a ## Q93. The population of a city increases 5% annually in compounded manner (yearly compounding). The present population of this city is 93051. The population of this city 2 years ago was: A. 84400 B. 84000 C. 88000 D. 88400 **Answer:** a ## Q94. If a sum on compound interest (compounded yearly) becomes three times in 4 years, then with the same interest rate, the sum will become 81 times in: A. 12 Years B. 18 Years C. 15 Years D. 16 Year **Answer:** d ## Q95. A certain sum is invested at 26% p.a, interest compounded annually. In how many years (approx) will it double? A. 4 B. 3 C. 2 D. 5 **Answer:** b ## Q96. What will be the present value of Rs.90,774 due 2 years hence, when the interest is compounded at 23% per annum? A. Rs.65,000 B. Rs.62,950 C. Rs.60,850 D. Rs.60,000 **Answer:** d ## Q97. What is the compound interest on Rs.10,625 for 2 years at 8% interest per annum, if interest is compounded annually? A. Rs.1,768 B. Rs.1,698 C. Rs.1,625 D. Rs.1,528 **Answer:** a ## Q98. A man borrowed some money and returned it in two equal instalments of Rs.3,025 each. If the rate of interest is 10% per annum, compound annually, find the sum borrowed. A. Rs.5,575 B. Rs.6,250 C. Rs.6,525 D. Rs.5,250 **Answer:** d ## Q99. Aman has taken a loan of Rs.50,000 from a bank at the rate of 8% to be compounded annually. How much does he have to pay after 3 years? (Nearest to a Rs.) A. Rs.62,517 B. Rs.62,871 C. Rs.62,986 D. Rs.62,000 **Answer:** c ## Q100. A sum of money amounts to Rs. 4,624 in 2 years and to Rs. 4,913 in 3 years at a certain rate of interest, when interest is compounded per annum. The sum is ________ A. Rs. 4,412 B. Rs. 4,335 C. Rs. 4,260 D. Rs. 4,096 **Answer:** d ## Q101. If a, b, c are positive real numbers, what is the value of A. 2 B. 3 C. 1 D. 4 **Answer:** c ## Q102. A sum of money becomes Rs. 2,000 in 3 years and Rs. 2,400 in 4 years, at the certain rate of yearly compound interest in case of annual compounding. Find the yearly rate of compound interest. A. 0.2 B. 0.1 C. 0.15 D. 0.25 **Answer:** a ## Q103. On a certain sum, the difference between the compound interest, compounded annually, and the simple interest at 10% per annum for 3 years is Rs. 93. The sum is: A. Rs. 3,500 B. Rs. 3,000 C. Rs. 4,000 D. Rs. 2,500 **Answer:** b ## Q104. A person borrowed a sum of Rs. 8,000 at an interest rate of 10% p.a., compounded semiannually. What is the compound interest for a period of 1 year? A. Rs. 820 B. Rs. 1,600 C. Rs. 1,680 D. Rs. 800 **Answer:** a ## Q105. Find the principal amount if the interest compounded annually at the rate of 10% for two years is Rs. 4,200. A. Rs. 17,500 B. Rs. 20,000 C. Rs. 24,000 D. Rs. 16,000 **Answer:** b ## Q106. The difference between the CI and the SI on a sum of money lent for 2 years at 20% interest per annum is Rs. 80. The sum is: A. Rs. 1,200 B. Rs. 2,000 C. Rs. 1,500 D. Rs. 1,000 **Answer:** b ## Q107. A sum of money was invested at 10% interest per year, compounded half-yearly for 18 months. If the amount payable on maturity was Rs. 83,349, what was the sum invested? A. Rs.80,000 B. Rs.68000 C. Rs.75000 D. Rs.72,000 **Answer:** d ## Q108. Ramesh bought a house for Rs. 2,00,000. At the end of the first year, he sold it at a loss of 10% on his investment. He invested the money thus obtained at a rate of 20% p.a. interest compounded aunually for 2 years. The value of this investment would amount to ________ . A. Rs. 2,59,200 B. Rs. 2,52,300 C. Rs. 2,56,900 D. Rs. 2,54,600 **Answer:** a ## Q109. In what time will Rs. 3,90,625 amount to Rs. 4,56,976 at 8 % per annum, interest being compounded half-yearly? A. 2 Years B. 1 1/2 years C. 2 1/2 years D. 1 years **Answer:** a ## Q110. Find the compound interest on Rs. 1,60,000 at 10% per annum for 2 years if the interest is compounded half-yearly. A. Rs. 32,282 B. Rs. 34,481 C. Rs. 33,458 D. Rs. 35,550 **Answer:** b ## Q111. Sundar lends a sum of Rs. 6,000 to Mahesh at an interest rate of 10% p.a., compounded annually. What will be the amount at the end of 2 years? A. Rs. 7,160 B. Rs. 7,250 C. Rs. 7,200 D. Rs. 7,260 **Answer:** d ## Q112. Find the compound interest on Rs. 35,000 in 2 years at 6% per annum, the interest being compounded half-yearly (nearest to a Rs.): A. Rs. 4,000 B. Rs. 4,193 C. Rs. 4,393 D. Rs. 4,388 **Answer:** c ## Q113. On a sum of money, when invested for 2 years, compound interest and simple interest are 300 and Rs 250, respectively. For both simple and compound interests the rate of interest per annum is the same, and for compound interest, interest is compounded annually. Find the rate of interest per annum. A. 0.1 B. 0.2 C. 0.4 D. 0.3 **Answer:** c ## Q114. A man borrows a sum of Rs. 1,025 and pays back in two equal yearly instalments. If the rate of interest is 5% p.a, compounded yearly, then how much is each instalments? A. Rs. 425.25 B. Rs. 525.32 C. Rs. 451.32 D. Rs. 551.25 **Answer:** d ## Q115. A sum of money is invested at a rate of compounded interest that is paid out yearly. In the first two years, the interest was Rs. 400 and Rs. 420 respectively. The sum is: A. Rs. 7,500 B. Rs. 9,530 C. Rs. 8,000 D. Rs. 8,765 **Answer:** c ## Q116. If the compound interest on a principal for one year is Rs. 350 and the compound interest for the second year is Rs. 420, find the rate of interest. A. 0.3 B. 0.2 C. 0.25 D. 0.15 **Answer:** b ## Q117. A sum of Rs. 5,000 was deposited for 3 years at 10% per annum, compounded annually. The difference between the interest for 2 years and that for 3 years is: A. Rs. 560 B. Rs. 506 C. Rs. 650 D. Rs. 605 **Answer:** d ## Q118. Find the compound interest on Rs. 5,50,000 at 7% per annum for 2 years, compounded annually. A. Rs. 80,60 B. Rs. 62,695 C. Rs. 79,690 D. Rs. 79,695 **Answer:** d ## Q119. A sum of Rs. 14,375, when invested at r% interest per year compounded annually, amounts to Rs. 16,767 after two years. What is the value of r? A. 9 B. 6 C. 7 D. 8 **Answer:** d ## Q120. The effective annual rate of interest, corresponding to a nominal rate of 6% per annum, compounded half-yearly, is: A. 0.0608 B. 0.0609 C. 0.0606 D. 0.0607 **Answer:** b ## Q121. Mohan invested 25,000 in a bank which offered interest at the rate of 10% per year compounded semi-annually. How much amount will he get after 2 years? [Give your answer correct to the nearest integer value.] A. Rs. 6512 B. Rs. 6320 C. Rs. 6250 D. Rs. 6078 **Answer:** d ## Q122. The compound interest on Rs.18,000 at 7% per annum, compounded annually, is Rs.1,260. What is the period of time? A. 1 years B. 2 years C. 3 years D. 4 years **Answer:** a ## Q123. A borrows an amount of Rs.3,600 from B at a rate of 20% simple interest for 2 years and lends 75% of this amount to C at 20% compound interest for 2 years. A uses the remaining amount for his personal purpose. Find the total loss incurred by A. A. Rs. 928 B. Rs. 852 C. Rs. 1152 D. Rs. 1024 **Answer:** c ## Q124. On a certain sum of money, the simple interest for 2 years is Rs.150 at the rate of 10% per annum. What is the difference between the compound interest and the simple interest for 2 years if, in the case of compound interest, interest is compounded annually at the rate of 10% per annum. A. Rs.5 B. Rs.10 C. Rs.7.5 D. Rs.12.5 **Answer:** c ## Q125. A sum of money becomes two times of itself in 8 years at simple interest, and it becomes four times of itself in 2 years at compound interest, when interest is compounded annually. Find the ratio of the rate of simple interest to the rate of compound interest offered per year. A. 2 : 3 B. 3 : 5 C. 3 : 5 D. 1 : 8 **Answer:** d ## Q126. Onacertain sum, the interest is compounded annually. If the compound interest for the second year is Rs.400 and the compound interest for the fourth year is 576, then what is the rate of interest per annum? A. 0.2 B. 0.25 C. 0.15 D. 0.44 **Answer:** a ## Q127. Vipul and Manish invested the sum of Rs. 15000 and Rs. 20000 at the rate of 20 percent p.a and 30 percent p.a. respectively on compound interest (compounding annually). If time period is 3 years for both, then what will be the total compound interest earned by Vipul and Manish? A. Rs.34860 B. Rs.32480 C. Rs.29460 D. Rs.31688 **Answer:** a ## Q128. The compound interest (compounding annually) on a certain sum at the rate of 8 percent per annum for two years is Rs.6656. What would be the simple interest on the same sum at the same rate of interest for two years? A. Rs.6224 B. Rs.6336 C. Rs.5600 D. Rs.6400 **Answer:** d ## Q129. Arif repaid a loan by paying Rs.15,625 after 3 years at a rate of 25% p.a. compounded annually. What was the amount of the loan? A. Rs.10,000 B. Rs.8,000 C. Rs.9,500 D. Rs.9,000 **Answer:** b ## Q130. In how many years will a sum of Rs.800 become Rs.1216.70 at 30% per annum compounding half-yearly? A. 2 year B. 1 year C. 2.5 year D. 1.5 year **Answer:** d ## Q131. Rs.21,000 is lent at compound interest of 10% p.a. for three years. Find the amount. A. Rs.27.000 B. Rs.27.951 C. Rs.6.951 D. Rs.28.951 **Answer:** b ## Q132. A sum amounts to Rs.7,562 in 4 years and to Rs.8,469.44 in 5 years at a certain rate per cent per annum, when the interest is compounded yearly. The rate of interest is: A. 0.08 B. 0.12 C. 0.2 D. 0.15 **Answer:** b ## Q133. A sum amount to Rs.7.562 in 4 years and to Rs.8,469.44 in 5 years, at a certain rate percent per annum when the interest is compounded yearly. If Rs.10,000 at the same rate of interest is borrowed for two years, then what will be the compounded interest (in Rs.)? A. 2544 B. 2764 C. 1965 D. 1736 **Answer:** a --- Source: https://www.easy2crack.com/mcqs/compound-interest/compound-interest-mcq-practice-set-for-mathematics Site: https://www.easy2crack.com · Machine index: https://www.easy2crack.com/llms.txt · MCP: https://www.easy2crack.com/mcp