At what rate percent compound interest will Rs. 625 become Rs. 676 in 2 years? MCQ with Answer and Explanation

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At what rate percent compound interest will Rs. 625 become Rs. 676 in 2 years?

A. 4%

B. 5%

C. 6%

D. 3%

Answer: Option A

Solution (By JKExamLibrary)

625(1+r)² = 676 ⇒ (1+r)² = 1.0816 = (1.04)² ⇒ r = 4%.

This question belongs to: Maths Compound Interest

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Practice More Compound Interest Questions

Question #1 Report Error

Find the compound interest on Rs. 13200 at 10% per annum for 2 years.

A. Rs. 2904

B. Rs. 3000

C. Rs. 2640

D. Rs. 2772

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Correct Answer: Option D

Explanation:
A = 13200 × 1.21 = 15972, CI = 15972 − 13200 = Rs. 2772.

This question belongs to: Maths Compound Interest

Question #2 Report Error

What sum will amount to Rs. 1210 in 2 years at 10% per annum compound interest?

A. Rs. 900

B. Rs. 1000

C. Rs. 1100

D. Rs. 1200

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Correct Answer: Option B

Explanation:
P = 1210 / (1.1)² = 1210 / 1.21 = 1000.

This question belongs to: Maths Compound Interest

Question #3 Report Error

Find the compound interest on Rs. 3000 at 10% per annum compounded half-yearly for 1 year.

A. Rs. 300

B. Rs. 322.50

C. Rs. 307.50

D. Rs. 315

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Correct Answer: Option C

Explanation:
Half-yearly rate 5%, n=2. A = 3000 × (1.05)² = 3000 × 1.1025 = 3307.50, CI = 3307.50 − 3000 = Rs. 307.50.

This question belongs to: Maths Compound Interest

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