Quantitative Aptitude

Simple and Compound Interest

3,394 Questions
All Simple interest and its inverse forms 768 Compound interest with annual compounding 742 Simple-interest growth and split sums 626 Difference between compound and simple interest 479 Half-yearly and quarterly compounding 252 Changing rates and fractional years 201 Installments (CI based) 190 Ratio of principal to interest 118 Population growth and depreciation 16

Simple and Compound Interest Questions

Multiple choice

A sum of Rs.x is invested at the rate of a% for 2 years and the interest is Rs.360 but if Rs.5,000 is invested at the same rate of interest for 3 years, then the sum becomes Rs.5,600. Find the value of x ? (Interest will be simple interest.)

  1. 4200

  2. 4400

  3. 4800

  4. 4500

  5. None
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

From 5000 at a% for 3 years, interest = 600. So 3 * a% * 5000 = 600 => 150a = 600 => a = 4%. Now, x * 4% * 2 = 360 => 0.08x = 360 => x = 4500.

Multiple choice

Pragya deposits an amount of Rs.10,000 to obtain a compound interest at the rate of 7.5% per annum. What total amount will Pragya get at the end of 1 year and 3 months ?

  1. 10951.56

  2. 10950

  3. 11190

  4. 19085

  5. None of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

For compound interest, the amount is calculated as A = P * (1 + r/100)^n. For 1 year and 3 months (1.25 years), the calculation is 10000 * (1 + 7.5/100)^1 * (1 + (7.5/100 * 0.25)). This yields 10000 * 1.075 * 1.01875 = 10951.5625.