At what rate percent compound interest will a sum of Rs. 4000 become Rs. 5324 in 3 years? MCQ with Answer and Explanation

At what rate percent compound interest will a sum of Rs. 4000 become Rs. 5324 in 3 years?

A. 15%

B. 12%

C. 10%

D. 8%

Answer: Option C

4000(1+r)³ = 5324 ⇒ (1+r)³ = 1.331 = (1.1)³ ⇒ r = 10%.

This question belongs to: Maths Compound Interest

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Question #1 Report Error

The compound interest on Rs. 10000 at 10% per annum for 2 years compounded half-yearly is:

A. Rs. 2250

B. Rs. 2300

C. Rs. 2155.06

D. Rs. 2200

Correct Answer: Option C

Explanation:
Half-yearly rate 5%, n=4. A = 10000 × (1.05)⁴ = 10000 × 1.21550625 = 12155.0625, CI = Rs. 2155.06.

This question belongs to: Maths Compound Interest

Question #2 Report Error

Find the compound interest on Rs. 2500 at 8% per annum compounded half-yearly for 1 year.

A. Rs. 208

B. Rs. 212

C. Rs. 204

D. Rs. 200

Correct Answer: Option C

Explanation:
Half-yearly rate = 4%, n=2. A = 2500 × (1.04)² = 2500 × 1.0816 = 2704, CI = 2704 − 2500 = Rs. 204.

This question belongs to: Maths Compound Interest

Question #3 Report Error

A sum of money placed at compound interest becomes double of itself in 8 years. In how many years will it become 16 times of itself?

A. 32 years

B. 24 years

C. 48 years

D. 40 years

Correct Answer: Option A

Explanation:
The sum becomes 2^1 times in 8 years. It will become 16 (2^4) times in 4 * 8 = 32 years.

This question belongs to: Maths Compound Interest