252 + Mcqs in Compound Interest in Arithmetic Ability Page 1 McqOptions

1.	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. 120
B.	Rs. 121
C.	Rs. 122
D.	Rs. 123
Answer» C. Rs. 122

Discussion

2.	What is the difference between the compound interests on Rs. 5000 for 3/2 years at 4% per annum compounded yearly and half-yearly?
A.	Rs. 2.04
B.	Rs. 3.06
C.	Rs. 4.80
D.	8.30
Answer» B. Rs. 3.06

Discussion

3.	You deposit $300 in a savings account that pays 4% simple annual interest. Find your account balance after 9 months.
A.	309
B.	409
C.	609
D.	509
Answer» B. 409

Discussion

4.	What would be the least number of years in which the simple interest on Rs.2600 at % will be an exact number of rupees ?
A.	2
B.	3
C.	4
D.	5
Answer» C. 4

Discussion

5.	What would be the compound interest of Rs. 25000 for 2 yrs. at 5% per annum?
A.	2500
B.	2562.5
C.	2425.25
D.	5512.5
Answer» C. 2425.25

Discussion

6.	What will be the compound interest on a sum of Rs.25,000 after 3 years at the rate of 12 p.c.p.a?
A.	Rs.10123.20
B.	Rs.12100
C.	Rs.12552
D.	Rs.12665
Answer» B. Rs.12100

Discussion

7.	What periodic payment will an investor receive from a $9000, four-year, monthly payment GIC earning a nominal rate of 5.25% compounded monthly?
A.	29.38
B.	39.38
C.	49.38
D.	59.38
Answer» C. 49.38

Discussion

8.	What lump sum deposited today would allow payments of $2000/year for 7 years at 5% compounded annually?
A.	11572.71
B.	11876
C.	189756
D.	11576
Answer» B. 11876

Discussion

9.	What is the SI on Rs.2500/- at the rate of 12% per annum for 8 years?
A.	2200
B.	2300
C.	2400
D.	2500
Answer» D. 2500

Discussion

10.	What is the rate of interest p.c.p.a.?_x005F_x000D_ I. An amount doubles itself in 5 years on simple interest._x005F_x000D_ II. Difference between the compound interest and the simple interest earned on a certain amount in 2 years is Rs. 400._x005F_x000D_ III. Simple interest earned per annum is Rs. 2000
A.	I only
B.	II and III only
C.	All I, II and III
D.	I only or II and III only
Answer» E.

Discussion

11.	What is the interest rate per annum, if a sum of money invested at compound interest amount to Rs. 2400 in 3 years and in 4 years to Rs. 2,520?
A.	0.035
B.	0.04
C.	0.05
D.	0.065
Answer» D. 0.065

Discussion

12.	What is the rate of interest (in %) if simple interest earned on a certain sum for the 3rd year is Rs 2,000 and compound interest earned in 2 years is RsÂ 4,160?
A.	8
B.	10
C.	12
D.	6
Answer» B. 10

Discussion

13.	What is the least number of complete years in which a sum of money put out at 40% annual compound interest will be more than trebled?
A.	3
B.	4
C.	5
D.	6
Answer» C. 5

Discussion

14.	What is the difference (in Rs) in Compound interest earned in 1 year on a sum of Rs 25,000 at 20% per annum compounded semi-annually andÂ annually?
A.	125
B.	250
C.	500
D.	375
Answer» C. 500

Discussion

15.	What is the difference (in Rs) between the compound interests on Rs. 4000 for 1 year at 12% per annum compounded yearly and half-yearly?
A.	14.4
B.	12.4
C.	10.4
D.	16.4
Answer» B. 12.4

Discussion

16.	What is the difference (in Rs) between the compound interests on Rs. 1000 for 1 year at 10% per annum compounded yearly and half-yearly?
A.	1.5
B.	0.5
C.	2.5
D.	3.5
Answer» D. 3.5

Discussion

17.	What is the difference (in Rs) between the compound interest (compounded annually) and simple interest for 3 years on a principal of Rs 2500 at the rateÂ of 30% per annum?
A.	742.5
B.	624.5
C.	714.5
D.	825.25
Answer» B. 624.5

Discussion

18.	What is the difference (in Rs) between compound interest (compounded annually) and simple interest for 3 years on a principal of Rs 4000 at the rate of 30% per annum?_x005F_x000D_ Â _x005F_x000D_
A.	976
B.	1024
C.	1188
D.	1276
Answer» D. 1276

Discussion

19.	What is the difference (in Rs) between compound interest (compounded annually) and simple interest for 3 years on a principal of Rs 3000 at the annual rate of 20%?
A.	464
B.	384
C.	356
D.	424
Answer» C. 356

Discussion

20.	What is the difference between the maturity values, if Rs. 12500 is invested for 2 years at 20% per annum simple interest and compound interest?
A.	Rs. 750
B.	Rs. 650
C.	Rs. 550
D.	Rs. 500
Answer» E.

Discussion

21.	What is the difference between the compound interests on Rs. 5000 for 11â„2 years at 4% per annum compounded yearly and half-yearly?
A.	Rs. 1.80
B.	Rs. 2.04
C.	Rs. 3.18
D.	Rs. 4.15
Answer» C. Rs. 3.18

Discussion

22.	What is the difference between the compound interests on Rs. 5000 for 1 1/2Â years at 4% per annum compounded yearly and half-yearly?
A.	2.04
B.	3.04
C.	4.04
D.	5.04
Answer» B. 3.04

Discussion

23.	What is the Compound interest on Rs. 5000 in 3 years, if the rate of interest is 4% for the first year, 3% for the second year and 2% for the third year?
A.	Rs. 435.21
B.	Rs.Â 453.12
C.	Rs.Â 436.12
D.	Rs.Â 463.12
Answer» E.

Discussion

24.	What is the compound interest on Rs. 48,000 for 2 years at 20% p.a., if interest is compounded annually?
A.	Rs. 69,120
B.	Rs. 21,120
C.	Rs. 76,800
D.	Rs. 72,000
Answer» C. Rs. 76,800

Discussion

25.	What is the compound interest (in Rs) for 1 year on a sum of Rs 20000 at the rate of 40% per annum compounding half yearly?
A.	8000
B.	8650
C.	8750
D.	8800
Answer» E.

Discussion

26.	What is the compound interest earned on Rs 80,000 at 40% per annum in 1 year compounded quarterly?
A.	28317
B.	37128
C.	18732
D.	21387
Answer» C. 18732

Discussion

27.	What amount must you invest now at 4% compounded monthly to accumulate $10,000 after 3 year
A.	8695
B.	7695
C.	3695
D.	4695
Answer» B. 7695

Discussion

28.	Two payments of $10,000 each must be made one year and four years from now. If money can earn 9% compounded monthly, what single payment two years from now would be equivalent to the two scheduled payments?
A.	19296
B.	19396
C.	19496
D.	19596
Answer» B. 19396

Discussion

29.	There is 50% increase in an amount in 5 years at simple interest. What will be the compound interest of Rs. 12,000 after 3 years at the same rate ?
A.	Rs. 5422
B.	Rs. 5489
C.	Rs. 3972
D.	Rs. 6145
Answer» D. Rs. 6145

Discussion

30.	There is 40% increase in an amount in 8 years at simple interest. What will be the compound interest of Rs. 36000 after 2 years at the same rate?
A.	Rs 6150
B.	Rs 7687.5
C.	Rs 3690
D.	Rs 4612.5
Answer» D. Rs 4612.5

Discussion

31.	There is 40% increase in an amount in 8 years at simple interest. What will be the compound interest (in rupees) of Rs 30000 after 2 years at the sameÂ rate?
A.	6150
B.	7687.5
C.	4612.5
D.	3075
Answer» E.

Discussion

32.	There is 40% increase in an amount in 5 years at simple interest. What will be the compound interest of Rs. 25000 after 3 years at the same rate?
A.	Rs 6492.8
B.	Rs 12985.6
C.	Rs 16232
D.	Rs 9739.2
Answer» B. Rs 12985.6

Discussion

33.	The sum for 2 years gives a compound interest of Rs 3225 at 15% rate. Then sum is
A.	10000
B.	20000
C.	15000
D.	32250
Answer» B. 20000

Discussion

34.	The present worth of Rs.169 due in 2 years at 4% per annum compound interest is
A.	Rs.156.25
B.	Rs.150
C.	Rs.140
D.	Rs125.25
Answer» B. Rs.150

Discussion

35.	The population of a town was 3600 three years back. It is 4800 right now. What will be the population three years down the line, if the rate of growth of population has been constant over the years and has been compounding annually?
A.	Rs.600
B.	Rs,6400
C.	Rs.6500
D.	Rs.6600
Answer» C. Rs.6500

Discussion

36.	The population of a rural region is expected to fall by 2% per year for the next 10 years. If the regionâ€™s current population is 100,000, what is the expected population 10 years from now?
A.	81707
B.	91707
C.	61707
D.	71707
Answer» B. 91707

Discussion

37.	The periodic interest rate corresponding to: 9.75% compounded semiannually
A.	4.875
B.	3.785
C.	4.865
D.	4.975
Answer» B. 3.785

Discussion

38.	The minimum number of half years in which a sum of money kept at 60% compound interest will be quadrupled is ?
A.	2
B.	4
C.	3
D.	6
Answer» E.

Discussion

39.	The maturity value of a certain sum after two years at 20% p.a. interest compounded annually is Rs. 14,400/-. Find the Principal amount.
A.	Rs.9000
B.	Rs.9500
C.	Rs.10,000
D.	Rs.10,500
Answer» D. Rs.10,500

Discussion

40.	The least number of complete years in which a sum of money put out at 20% compound interest will be more than doubled is:_x005F_x000D_ _x005F_x000D_
A.	3
B.	4
C.	5
D.	6
Answer» C. 5

Discussion

41.	The least number of complete years in which a sum of money put out at 20% C.I. will be more than doubled is Â ?
A.	3 years
B.	4 years
C.	2.5 years
D.	2 years
Answer» C. 2.5 years

Discussion

42.	The effective annual rate of interest corresponding to nominal rate of 6% per annum payable half yearly is
A.	0.05
B.	0.06
C.	0.07
D.	0.0609
Answer» E.

Discussion

43.	The difference between the simple interest on a certain sum at the rate of 10%per annum for 2 years and compound interest which is compounded every 6 months is Rs.124.05. what is the principal sum
A.	Rs.6000
B.	Rs.8000
C.	Rs.12000
D.	none of these
Answer» C. Rs.12000

Discussion

44.	The difference between the compound interest (compounding annually) and simple interest on a sum at the rate of 12% per annum for 2 years is Rs 360. What is the sum (in Rs)?
A.	27000
B.	32000
C.	30000
D.	25000
Answer» E.

Discussion

45.	The difference between the compound interest and the simple interest on a certain sum at 12% p.a. for two years is Rs.90. What will be the value of the amount at the end of 3 years?
A.	8560
B.	8673
C.	8746
D.	8780.8
Answer» E.

Discussion

46.	The difference between the compound interest and the simple interest accrued on an amount of Rs. 18,000 in 2 years was Rs. 405. What was the rate of interest p.c.p.a. ?
A.	0.12
B.	0.13
C.	0.14
D.	0.15
Answer» E.

Discussion

47.	The difference between the compound interest and simple interest on an amount of Rs.15000 for two years is Rs.96. what is the rate of interest per annum
A.	8
B.	10
C.	12
D.	13
Answer» B. 10

Discussion

48.	The difference between simple interest and compound interest on Rs. 1200 for one year at 10% per annum reckoned half yearly is
A.	Rs.2.50
B.	Rs.3
C.	Rs.4
D.	Rs.4.50
Answer» C. Rs.4

Discussion

49.	The difference between simple interest and compound interest of a certain sum of money at 20% per annum for 2 years is Rs. 56. Then the sum is :
A.	Rs. 3680
B.	Rs. 2650
C.	Rs. 1400
D.	Rs. 1170
Answer» D. Rs. 1170

Discussion

50.	The difference between simple and compound interest (compounded annually) on a sum of money for 3 years at 10% per annum is Rs. 93. The sum (inÂ Rs.) is:
A.	30000
B.	30300
C.	3000
D.	3030
Answer» D. 3030

Discussion

Explore topic-wise MCQs in Arithmetic Ability.

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:

What is the difference between the compound interests on Rs. 5000 for 3/2 years at 4% per annum compounded yearly and half-yearly?

You deposit $300 in a savings account that pays 4% simple annual interest. Find your account balance after 9 months.

What would be the least number of years in which the simple interest on Rs.2600 at % will be an exact number of rupees ?

What would be the compound interest of Rs. 25000 for 2 yrs. at 5% per annum?

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

What periodic payment will an investor receive from a $9000, four-year, monthly payment GIC earning a nominal rate of 5.25% compounded monthly?

What lump sum deposited today would allow payments of $2000/year for 7 years at 5% compounded annually?

What is the SI on Rs.2500/- at the rate of 12% per annum for 8 years?

What is the interest rate per annum, if a sum of money invested at compound interest amount to Rs. 2400 in 3 years and in 4 years to Rs. 2,520?

What is the rate of interest (in %) if simple interest earned on a certain sum for the 3rd year is Rs 2,000 and compound interest earned in 2 years is RsÂ 4,160?

What is the least number of complete years in which a sum of money put out at 40% annual compound interest will be more than trebled?

What is the difference (in Rs) in Compound interest earned in 1 year on a sum of Rs 25,000 at 20% per annum compounded semi-annually andÂ annually?

What is the difference (in Rs) between the compound interests on Rs. 4000 for 1 year at 12% per annum compounded yearly and half-yearly?

What is the difference (in Rs) between the compound interests on Rs. 1000 for 1 year at 10% per annum compounded yearly and half-yearly?

What is the difference (in Rs) between the compound interest (compounded annually) and simple interest for 3 years on a principal of Rs 2500 at the rateÂ of 30% per annum?

What is the difference (in Rs) between compound interest (compounded annually) and simple interest for 3 years on a principal of Rs 4000 at the rate of 30% per annum?_x005F_x000D_ Â _x005F_x000D_

What is the difference (in Rs) between compound interest (compounded annually) and simple interest for 3 years on a principal of Rs 3000 at the annual rate of 20%?

What is the difference between the maturity values, if Rs. 12500 is invested for 2 years at 20% per annum simple interest and compound interest?

What is the difference between the compound interests on Rs. 5000 for 11â„2 years at 4% per annum compounded yearly and half-yearly?

What is the difference between the compound interests on Rs. 5000 for 1 1/2Â years at 4% per annum compounded yearly and half-yearly?

What is the Compound interest on Rs. 5000 in 3 years, if the rate of interest is 4% for the first year, 3% for the second year and 2% for the third year?

What is the compound interest on Rs. 48,000 for 2 years at 20% p.a., if interest is compounded annually?

What is the compound interest (in Rs) for 1 year on a sum of Rs 20000 at the rate of 40% per annum compounding half yearly?

What is the compound interest earned on Rs 80,000 at 40% per annum in 1 year compounded quarterly?

What amount must you invest now at 4% compounded monthly to accumulate $10,000 after 3 year

Two payments of $10,000 each must be made one year and four years from now. If money can earn 9% compounded monthly, what single payment two years from now would be equivalent to the two scheduled payments?

There is 50% increase in an amount in 5 years at simple interest. What will be the compound interest of Rs. 12,000 after 3 years at the same rate ?

There is 40% increase in an amount in 8 years at simple interest. What will be the compound interest of Rs. 36000 after 2 years at the same rate?

There is 40% increase in an amount in 8 years at simple interest. What will be the compound interest (in rupees) of Rs 30000 after 2 years at the sameÂ rate?

There is 40% increase in an amount in 5 years at simple interest. What will be the compound interest of Rs. 25000 after 3 years at the same rate?

The sum for 2 years gives a compound interest of Rs 3225 at 15% rate. Then sum is

The present worth of Rs.169 due in 2 years at 4% per annum compound interest is

The population of a town was 3600 three years back. It is 4800 right now. What will be the population three years down the line, if the rate of growth of population has been constant over the years and has been compounding annually?

The population of a rural region is expected to fall by 2% per year for the next 10 years. If the regionâ€™s current population is 100,000, what is the expected population 10 years from now?

The periodic interest rate corresponding to: 9.75% compounded semiannually

The minimum number of half years in which a sum of money kept at 60% compound interest will be quadrupled is ?

The maturity value of a certain sum after two years at 20% p.a. interest compounded annually is Rs. 14,400/-. Find the Principal amount.

The least number of complete years in which a sum of money put out at 20% compound interest will be more than doubled is:_x005F_x000D_ _x005F_x000D_

The least number of complete years in which a sum of money put out at 20% C.I. will be more than doubled is Â ?

The effective annual rate of interest corresponding to nominal rate of 6% per annum payable half yearly is

The difference between the simple interest on a certain sum at the rate of 10%per annum for 2 years and compound interest which is compounded every 6 months is Rs.124.05. what is the principal sum

The difference between the compound interest (compounding annually) and simple interest on a sum at the rate of 12% per annum for 2 years is Rs 360. What is the sum (in Rs)?

The difference between the compound interest and the simple interest on a certain sum at 12% p.a. for two years is Rs.90. What will be the value of the amount at the end of 3 years?

The difference between the compound interest and the simple interest accrued on an amount of Rs. 18,000 in 2 years was Rs. 405. What was the rate of interest p.c.p.a. ?

The difference between the compound interest and simple interest on an amount of Rs.15000 for two years is Rs.96. what is the rate of interest per annum

The difference between simple interest and compound interest on Rs. 1200 for one year at 10% per annum reckoned half yearly is

The difference between simple interest and compound interest of a certain sum of money at 20% per annum for 2 years is Rs. 56. Then the sum is :

The difference between simple and compound interest (compounded annually) on a sum of money for 3 years at 10% per annum is Rs. 93. The sum (inÂ Rs.) is:

What is the difference between the compound interests on Rs. 5000 for 11â„2 years at 4% per annum compounded yearly and half-yearly?