Tag: banking

Questions Related to banking

The hirer pays an initial payment known as

installments banking business and commercial activities economics maths

  1. individual payment

  2. up payment

  3. down payment

  4. install payment

Show answer
Correct Option: C
Explanation:

The hirer pays an initial payment known as down payment.

The cost of a TV is Rs. $36{,}000$. Manoj decides to pay it in $8$ instalments at $12\%$ simple interest p.a. Calculate his monthly E.M.I and the total amount paid by him.

installments banking business and commercial activities economics maths

  1. Rs. $5{,}040$, Rs. $40{,}320$

  2. Rs. $3{,}240$, Rs. $40{,}320$

  3. Rs. $3{,}240$, Rs. $38{,}880$

  4. Rs. $4{,}860$, Rs. $38{,}880$

Show answer
Correct Option: A
Explanation:

$\Rightarrow$  Cost of T.V is $Rs.36,000$

$\Rightarrow$  So, $P=Rs.36,000,\,T=1\,year$ and $R=12\%$

$\Rightarrow$  $I=\dfrac{P\times R\times T}{100}=\dfrac{36000\times 12\times 1}{100}=Rs.4320$

$\Rightarrow$  Total amount paid by Manoj = Cost price + Interest = $Rs.36,000+4,320=Rs.40,320$.
$\Rightarrow$  $E.M.I=\dfrac{40320}{8}=Rs.5,040$
$\therefore$   Manoj monthly E.M.I is $Rs.5,040$ and total amount of T.V is $Rs.40,320.$

Volkswagen decides to sell its best-selling car under following different schemes:

Scheme Selling Price InitialPayment ProcessingFee Rate ofInterest Duration
$80\%$ Finance Rs. $4{,}00{,}000$ $20\%$ $0.5\%$ $10\%$ $2$ years
$100\%$ Finance Rs. $4{,}00{,}000$ $0\%$ $1\%$ $12.5\%$ $1$ years
$0\%$ Interest Rs. $4{,}00{,}000$ $3$ EMIsin advance $1\%$ $0\%$ $2$ years


What is the total amount that need to be paid in the $100\%$ Finance Scheme?

installments banking business and commercial activities economics maths

  1. Rs. $4{,}34{,}000$

  2. Rs. $4{,}67{,}000$

  3. Rs. $4{,}54{,}000$

  4. Rs. $4{,}27{,}000$

Show answer
Correct Option: C
Explanation:

For $100\%$ finance scheme:


$\text{Processing fee=1% of 4,00,000=Rs. 4,000}$

$\text{Initial payments=0%=0}$

$SI=\dfrac{PRT}{100}=\dfrac{4,00,000\times 12.5\times 1}{100}=Rs.\ 50,000$

Hence, total amount that need to be paid is

$Rs.\ (4,00,000+50,000+4,000)=Rs.\ 4,54,000$

Ramu buys a watch whose cost is Rs. $9{,}000$. He decides to pay Rs. $825$ monthly for a period of $12$ months. Calculate the rate of interest charged.

installments banking business and commercial activities economics maths

  1. $12\%$

  2. $5\%$

  3. $10\%$

  4. $15\%$

Show answer
Correct Option: C
Explanation:

Here, $P=$ Rs. $9,000,\,T=12$ months $=1$ year and $E.M.I.=$ Rs. $825$.

$\Rightarrow$  $I=\dfrac{P\times R\times T}{100}=\dfrac{9000\times R\times 1}{100}=90R.$
$\Rightarrow$  $E.M.I.=\dfrac{P+I}{\text{Months}}$
$\Rightarrow$  $825=\dfrac{9000+90R}{12}$
$\Rightarrow$   $825\times 12=9000+90R$
$\Rightarrow$   $9900=9000+90R$
$\Rightarrow$  $90R=900$
Thus $R=\dfrac{900}{90}=10\%$

Meena decides to buy a laptop by paying Rs. $2600$ at $12\%$ simple interest p.a. for $24$ months. The company charges a processing fee of $1\%$ for this scheme. Calculate the selling price of the laptop.

installments banking business and commercial activities economics maths

  1. Rs. $45{,}882$

  2. Rs. $39{,}264$

  3. Rs. $48{,}629$

  4. Rs. $42{,}162$

Show answer
Correct Option: D
Explanation:

$P _{total}=Rs.2600+1\%\ of\ 2600=Rs.2626$

$\cfrac { P _{total}\times r\times t }{ 100 } $
$\cfrac { 2626\times 12\times 2 }{ 100 }=630.24 $
S.P amount $=S.I+P _{total}=630.24+2626=Rs.3256.24$