Quantitative Aptitude Questions and Answers section on “Compound Interest” with solution and explanation for competitive examinations such as CAT, MBA, SSC, Bank PO, Bank Clerical and other examinations.

August 30, 2016

In what time 8000 Rs. will amount to 9261 Rs. at 10% per annum compound interest, when the interest is compounded half yearly? [A]1.5 years [B]2 years [C]2.5 years [D]3.5 years Show Answer 1.5 years Interest is compounded half yearly. ∴ Rate of interest = 5% Hence option [A] is correct answer.

August 30, 2016

A sum of 8000 Rs. will amount to 8820 Rs. in 2 years if the interest is calculated every year. The rate of compound interest is : [A]3% [B]5% [C]6% [D]7% Show Answer 5% If the rate of CI be r% per annum, then Hence option [B] is correct answer.

August 30, 2016

The time in which 80000 Rs. Amounts to 92610 Rs. At 10% per annum compound interest, interest being compounded semi annually is : [A]1.5 years [B]2 years [C]2.5 years [D]3 years Show Answer 1.5 years Time = t half year and R = 5% per half year ∴ T = 3 half years or years

August 30, 2016

The compound interest on 5000 Rs. for 3 years at 10% per annum will amount to : [A]1565 Rs. [B]1600 Rs. [C]1654 Rs. [D]1655 Rs. Show Answer 1655 Rs. Hence option [D] is correct answer.

August 30, 2016

In how many years will a sum of money 800 Rs. at 10% per annum compound interest, compounded semi annually becomes 926.10 Rs.? [A] [B] [C] [D] Show Answer Rate = 10% per annum = 5% half yearly Hence option [B] is correct answer.

August 30, 2016

An amount of 6000 Rs. Lent at 5% per annum compound interest for 2 years will become : [A]6000 Rs. [B]6600 Rs. [C]6610 Rs. [D]6615 Rs. Show Answer 6615 Rs. Hence option [D] is correct answer.

August 30, 2016

The sum of money that yields a compound interest on 420 Rs. during the second year at 5% per annum is : [A]4000 Rs. [B]4200 Rs. [C]2100 Rs. [D]8000 Rs. Show Answer 8000 Rs. Hence option [D] is correct answer.

August 30, 2016

A sum of 3200 Rs. invested at 10% per annum compounded quarterly amounts to 3362 Rs. Compute the time period. [A] [B] [C] [D] Show Answer Hence option [A] is correct answer.

August 30, 2016

A man borrows 21000 Rs. at 10% compound interest. How much he has to pay annually at the end of each year, to settle his loan in two years? [A]12000 Rs. [B]12100 Rs. [C]12200 Rs. [D]12300 Rs. Show Answer 12100 Rs. If each instalment be x, then present worth of first instalment Present worth of

August 30, 2016

A principal of 10000 Rs. after 2 years compounded annually, the rate of interest being 10% per annum during the first year and 12% per annum during the second year will amount is : [A]11320 Rs. [B]12000 Rs. [C]12320 Rs. [D]12500 Rs. Show Answer 12320 Rs. Hence option [C] is correct answer.