A sum becomes Rs. 2315.25 in 2 years at 5% compound interest. Find the sum. MCQ with Answer and Explanation
Question
Report Error
Discuss this Question (0)
Practice More Compound Interest Questions
Question #1
Report Error
If the compound interest on a certain sum for 2 years at 12% per annum is Rs. 1590, find the simple interest on the same sum at the same rate for the same period.
Correct Answer: Option A
Explanation:
Effective compound interest rate = 12 + 12 + (1212)/100 = 25.44%. Simple interest rate = 12 * 2 = 24%. Given 25.44% of sum = 1590 => Sum = 1590 / 0.2544 = Rs. 6250. Simple Interest = 24% of 6250 = Rs. 1500.
Effective compound interest rate = 12 + 12 + (1212)/100 = 25.44%. Simple interest rate = 12 * 2 = 24%. Given 25.44% of sum = 1590 => Sum = 1590 / 0.2544 = Rs. 6250. Simple Interest = 24% of 6250 = Rs. 1500.
This question belongs to:
Maths
Compound Interest
Question #2
Report Error
The compound interest on a certain sum of money for 2 years at 5% per annum is Rs. 246. What is the sum?
Correct Answer: Option C
Explanation:
Effective compound interest rate for 2 years at 5% = 5 + 5 + (55)/100 = 10.25%. Given 10.25% of P = 246 => P = 246 / 0.1025 = Rs. 2400.
Effective compound interest rate for 2 years at 5% = 5 + 5 + (55)/100 = 10.25%. Given 10.25% of P = 246 => P = 246 / 0.1025 = Rs. 2400.
This question belongs to:
Maths
Compound Interest
Question #3
Report Error
At compound interest, a sum becomes 1.21 times in 2 years. The rate of interest per annum is:
Correct Answer: Option D
Explanation:
(1 + r)² = 1.21 ⇒ 1 + r = 1.1 ⇒ r = 10%.
(1 + r)² = 1.21 ⇒ 1 + r = 1.1 ⇒ r = 10%.
This question belongs to:
Maths
Compound Interest
No comments yet. Be the first to start the discussion!