A sum of money at compound interest becomes Rs. 7396 in 2 years and Rs. 7950.70 in 3 years. Find the sum. MCQ with Answer and Explanation

A sum of money at compound interest becomes Rs. 7396 in 2 years and Rs. 7950.70 in 3 years. Find the sum.

A. Rs. 6000

B. Rs. 6400

C. Rs. 6250

D. Rs. 6500

Answer: Option B

Solution (By JKExamLibrary)

Rate = (7950.70/7396 - 1)*100 = 7.5%? 7950.70/7396 = 1.075, so 7.5%. P = 7396 / (1.075)² = 7396 / 1.155625 = 6400 exactly. Check: 1.075^2 = 1.155625, 6400*1.155625 = 7396. So answer 6400.

This question belongs to: Maths Compound Interest

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Practice More Compound Interest Questions

Question #1 Report Error

A sum of money at compound interest becomes 9 times in 4 years. In how many years will it become 81 times?

A. 10 years

B. 6 years

C. 7 years

D. 8 years

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Correct Answer: Option D

Explanation:
81 = 9², so 4 × 2 = 8 years.

This question belongs to: Maths Compound Interest

Question #2 Report Error

Find the compound interest on Rs. 14400 at 5% per annum for 2 years.

A. Rs. 1476

B. Rs. 1512

C. Rs. 1440

D. Rs. 1548

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Correct Answer: Option A

Explanation:
A = 14400 × 1.1025 = 15876, CI = 15876 − 14400 = Rs. 1476.

This question belongs to: Maths Compound Interest

Question #3 Report Error

The simple interest on a sum for 2 years at 8% is Rs. 320. The compound interest on the same sum for 2 years at 8% is:

A. Rs. 371.20

B. Rs. 345.60

C. Rs. 332.80

D. Rs. 358.40

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Correct Answer: Option C

Explanation:
P = 32000/(8×2) = 2000. CI = 2000 × 0.1664 = 332.80.

This question belongs to: Maths Compound Interest

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