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Aptitude Round Question-Compound Interest-Free Download

Aptitude Round Question-Compound Interest-Free Download

Compound Interest Aptitude Questions

Compound Interest is the difference between the original principal and final amount. Compound Interest is similar to the Simple Interest shortcut tricks. As we know that same for some time but some cases it's different from Simple Interest. In some cases, of the Compound Interest, the interest varies according to time. So candidates before going to appear for Compound Interest Quiz should know the topics which are covered in the particular concept.

Compound Interest Formulae

Compound Interest basic terms A = Amount
P = Principal
R = Rate of Interest
N = Number of Years
1. Interest Compounded Yearly
Amount (A) = Principal (P) X ( 1 + Rate of Interest (R) / 100 )Number of Years (N)
2. Interest Compounded Half-Yearly
Amount (A) = Principal (P) X [ 1 + Rate of Interest (R) / 2 / 100 ]2 X Number of Years (N)
(or) Principal (P) = [ 1 + Rate of Interest (R) / 200 ] 2 X Number of Years (N)
3. Interest Compounded Quarterly
Amount (A) = Principal (P) X [ 1 + Rate of Interest (R) / 4 / 100 ]
(or) Principal (P) [ 1 + Rate of Interest (R) / 400 ] 4 X Number of Years (N)

Find compound interest on Rs. 8000 at 15% per annum for 2 years 4 months, compounded annually

A) 2109

B) 3109

C) 4109

D) 6109

Answer & Explanation Answer: B) 3109

A sum of money lent at compound interest for 2 years at 20% per annum would fetch Rs.482 more, if the interest was payable half yearly than if it was payable annually . The sum is

A) 10000

B) 20000

C) 40000

D) 50000

Answer & Explanation Answer: B) 20000

The difference between compound interest and simple interest on a sum for two years at 8% per annum, where the interest is compounded annually is Rs.16. if the interest were compounded half yearly , the difference in two interests would be nearly

A) Rs.24.64

B) Rs.21.85

C) Rs.16

D) Rs.16.80

Answer & Explanation Answer: A) Rs.24.64

A sum of money amounts to Rs.6690 after 3 years and to Rs.10,035 after 6 years on compound interest.find the sum.

A) 4360

B) 4460

C) 4560

D) 4660

Answer & Explanation Answer: B) 4460

The compound interest on rs.30000 at 7% per annum is Rs.4347. The period is

A) 2 years

B) 2.5 years

C) 3 years

D) 4 years

Answer & Explanation Answer: A) 2 years

What is the rate of interest p.c.p.a.?

I. An amount doubles itself in 5 years on simple interest.

II. Difference between the compound interest and the simple interest earned on a certain amount in 2 years is Rs. 400.

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 & Explanation Answer: D) I only or II and III only

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 & Explanation Answer: B) Rs.8000

Find the compound interest on Rs. 10,000 in 2 years at 4% per annum, the interest being compounded half-yearly.

A) 524.32

B) 624.32

C) 724.32

D) 824.32

Answer & Explanation Answer: D) 824.32

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

A. Rs. 2.04

B. Rs. 4.80

C. Rs. 3.06

D. Rs. 8.30

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Answer : Option A

2. 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. 123

D. Rs. 122

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Answer : Option B

There is 80% increase in an amount in 8 years at simple interest. What will be the compound interest of Rs. 14,000 after 3 years at the same rate?

A. Rs.3794

B. Rs.3714

C. Rs.4612

D. Rs.4634

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Answer : Option D

The compound interest on Rs. 30,000 at 7% per annum is Rs. 4347. The period (in years) is:

A. 1

B. 2

C. 3

D. 3.5

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Answer : Option B

The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 4% per annum is Re. 1. The sum is:

A. Rs.600

B. Rs.645

C. Rs.525

D. Rs.625

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Answer : Option D

6. The difference between compound interest and simple interest on an amount of Rs. 15,000 for 2 years is Rs. 96. What is the rate of interest per annum?

A. 9%

B. 12%

C. 8%

D. 6%

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Answer : Option C

If the simple interest on a sum of money for 2 years at 5% per annum is Rs. 60, what is the compound interest on the same at the same rate and for the same time?

A. Rs. 63.5

B. Rs. 62

C. Rs. 61.5

D. Rs. 64

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Answer : Option C

The difference between simple interest and compound on Rs. 900 for one year at 10% per annum reckoned half-yearly is:

A. Rs. 3

B. Rs. 2.25

C. Rs. 4.5

D. Rs. 4

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Answer : Option B

What will be the compound interest on a sum of Rs. 40,000 after 3 years at the rate of 11 p.c.p.a.?

A. Rs. 14705.24

B. Rs. 14602.25

C. Rs. 14822.26

D. Rs. 14322.10

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Answer : Option A

. At what rate of compound interest per annum will a sum of Rs. 1400 become Rs. 1573.04 in 2 years?

A. 4%

B. 5%

C. 6%

D. 8%

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Answer : Option C

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

A. 5

B. 4

C. 4

D. 2

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Answer : Option B

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

A. 6.07%

B. 6.08%

C. 6.06%

D. 6.09%

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Answer : Option D

Arun invested an amount of Rs. 20000 in a fixed deposit scheme for 2 years at compound interest rate 4 p.c.p.a. How much amount will Arun get on maturity of the fixed deposit?

A. 20342

B. 21632

C. 22324

D. 24120

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Answer : Option B

Simple interest on a certain sum of money for 4 years at 5% per annum is half the compound interest on Rs. 3000 for 2 years at 10% per annum. The sum placed on simple interest is:

A. Rs.1575

B. Rs. 2200

C. Rs. 1200

D. Rs. 1625

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Answer : Option A

The compound interest on a certain sum for 2 years at 10% per annum is Rs. 525. The simple interest on the same sum for double the time at half the rate percent per annum is:

A. Rs. 500

B. Rs. 400

C. Rs. 450

D. Rs. 600

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Answer : Option A

16. The difference between simple interest and compound on Rs. 2400 for one year at 10% per annum reckoned half-yearly is:

A. Rs. 4

B. Rs. 6

C. Rs. 3

D. Rs. 2

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Answer : Option B

17. The Simple interest on a certain sum for 2 years at 20% per annum is Rs. 80. The corresponding compound interest is

A. Rs. 66

B. Rs. 82

C. Rs. 86

D. Rs. 88

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Answer : Option D

18. The Compound interest on Rs. 20,480 at 6 1/ 4 % per annum for 2 years 73 days, is :

A. Rs. 2929

B. Rs. 2219

C. Rs. 3021

D. Rs. 3049

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Answer : Option A

19. A sum amounts to Rs. 882 in 2 years at 5% compound interest. The sum is

A. Rs. 800

B. Rs. 822

C. Rs. 840

D. Rs. 816

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Answer : Option A

20. A sum put out at 4% compound interest payable half-yearly amounts to Rs. 13265.10 in 11/ 2 years. The sum is

A. Rs. 12500

B. Rs. 11200

C. Rs. 8840

D. Rs. 12600

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Answer : Option A

21. A sum of money is borrowed and paid back in two annual instalments of Rs. 882 each allowing 5% compound interest. The sum borrowed was:

A. Rs.1820

B. Rs.1640

C. Rs.1260

D. Rs.1440

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Answer : Option B

What sum invested for 2 years at 14% compounded annually will grow to Rs. 5458.32?

A. 4120

B. 3300

C. 4200

D. 4420

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Answer : Option C

If the difference between the simple interest and compound interests on some principal amount at 20% for 3 years is Rs. 48, then the principal amount is

A. Rs. 365

B. Rs. 325

C. Rs. 395

D. Rs. 375

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Answer : Option D

Andrews earns an interest of Rs. 1596 for the third year and Rs. 1400 for the second year on the same sum. Find the rate of interest if it is lent at compound interest.

A. 12%

B. 13%

C. 14%

D. 15%

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Answer : Option C

25. The population of a town is 40,000. It decreases by 20 per thousand per year. Find out the population after 2 years.

A. 38484

B. 38266

C. 38416

D. 38226

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Answer : Option C

The difference between simple and compound interests compounded annually on a certain sum of money for 2 years at 4% per annum is Re. 1. The sum (in Rs.) is:

A.

625

B.

630

C.

640

D.

650

Answer: Option A


There is 60% increase in an amount in 6 years at simple interest. What will be the compound interest of Rs. 12,000 after 3 years at the same rate?

A.

Rs. 2160

B.

Rs. 3120

C.

Rs. 3972

D.

Rs. 6240

E.

None of these

Answer: Option C

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

A.

Rs. 2.04

B.

Rs. 3.06

C.

Rs. 4.80

D.

Rs. 8.30

Answer: Option A


The compound interest on Rs. 30,000 at 7% per annum is Rs. 4347. The period (in years) is:

A.

2

B.

2

1

2

C.

3

D.

4

Answer: Option A


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. 9000.30

B.

Rs. 9720

C.

Rs. 10123.20

D.

Rs. 10483.20

E.

None of these

Answer: Option C


At what rate of compound interest per annum will a sum of Rs. 1200 become Rs. 1348.32 in 2 years?

A.

6%

B.

6.5%

C.

7%

D.

7.5%

Answer: Option A

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

A.

3

B.

4

C.

5

D.

6

Answer: Option B


Albert invested an amount of Rs. 8000 in a fixed deposit scheme for 2 years at compound interest rate 5 p.c.p.a. How much amount will Albert get on maturity of the fixed deposit?

A.

Rs. 8600

B.

Rs. 8620

C.

Rs. 8820

D.

None of these

Answer: Option C

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

A.

6.06%

B.

6.07%

C.

6.08%

D.

6.09%

Answer: Option D


Simple interest on a certain sum of money for 3 years at 8% per annum is half the compound interest on Rs. 4000 for 2 years at 10% per annum. The sum placed on simple interest is:

A.

Rs. 1550

B.

Rs. 1650

C.

Rs. 1750

D.

Rs. 2000

Answer: Option C

If the simple interest on a sum of money for 2 years at 5% per annum is Rs. 50, what is the compound interest on the same at the same rate and for the same time?

A.

Rs. 51.25

B.

Rs. 52

C.

Rs. 54.25

D.

Rs. 60

Answer: Option A


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

A.

Rs. 2.50

B.

Rs. 3

C.

Rs. 3.75

D.

Rs. 4

E.

None of these

Answer: Option B

The difference between compound interest and simple interest on an amount of Rs. 15,000 for 2 years is Rs. 96. What is the rate of interest per annum?

A.

8

B.

10

C.

12

D.

Cannot be determined

E.

None of these

Answer: Option A

The compound interest on a certain sum for 2 years at 10% per annum is Rs. 525. The simple interest on the same sum for double the time at half the rate percent per annum is:

A.

Rs. 400

B.

Rs. 500

C.

Rs. 600

D.

Rs. 800

Answer: Option B

1. Find the compound interest and the amount on Rs.8000 at 5% per annum for 3 years when C.I is reckoned yearly?

  • A. Rs.1261
  • B. Rs.1440
  • C. Rs.1185
  • D. Rs.1346

Answer & Explanation

Answer: Option A

If Rs.7500 are borrowed at C.I at the rate of 4% per annum, then after 2 years the amount to be paid is?

  • A. Rs.8082
  • B. Rs.7800
  • C. Rs.8100
  • D. Rs.8112

Answer & Explanation

Answer: Option D

Find out the C.I on Rs.5000 at 4% p.a. compound half-yearly for 1 1/2 years.

  • A. Rs.420.20
  • B. Rs.319.06
  • C. Rs.306.04
  • D. Rs.294.75

Answer & Explanation

Answer: Option C

Reena took a loan of Rs. 1200 with simple interest for as many years as the rate of interest. If she paid Rs. 432 as interest at the end of the loan period, what was the rate of interest?

A) 3.6

B) 6

C) 18

D) Cannot be determined

Answer & Explanation Answer: B) 6

What annual payment will discharge a debt of Rs.7620 due in 3years at1623

% per annum interest?

A) 5430

B) 4430

C) 3430

D) 2430

Answer & Explanation Answer: C) 3430

A certain sum amounts to Rs.7350 in 2 years and to Rs.8575 in 3 years.find the sum and rate percent

A) 3400

B) 4400

C) 5400

D) 6400

Answer & Explanation Answer: C) 5400

If the simple interest on a sum of money at 5% per annum for 3 years is Rs. 1200, find the compound interest on the same sum for the same period at the same rate.

A) 1261

B) 1271

C) 1281

D) 1291

Answer & Explanation Answer: A) 1261

The compound interest on a sum of money for 2 years is rs.832 and the simple interest on the same sum for the same period is rs.800 .the difference between the compound interest and simple interest for 3 years

A) Rs.48

B) Rs.66.56

C) Rs.98.56

D) None of these

Answer & Explanation Answer: C) Rs.98.56

Find the compound interest on Rs. 16,000 at 20% per annum for 9 months, compounded quarterly

A) 2422

B) 2522

C) 2622

D) 2722

Answer & Explanation Answer: B) 2522

On a sum of money, the simple interest for 2 years is Rs. 660,while the compound interest is Rs.696.30,the rate of interest being the same in both the cases. The rate of interest is

A) 10%

B) 11%

C) 12%

D) 13%

Answer & Explanation Answer: B) 11%

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 & Explanation Answer: B) Rs,6400

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