At what rate percent will a sum of Rs. 4000 amount to Rs. 4410 in 2 years at compound interest? MCQ with Answer and Explanation

At what rate percent will a sum of Rs. 4000 amount to Rs. 4410 in 2 years at compound interest?

A. 6%

B. 4%

C. 8%

D. 5%

Answer: Option D

4000(1+r)² = 4410 ⇒ (1+r)² = 1.1025 = (1.05)² ⇒ r = 5%.

This question belongs to: Maths Compound Interest

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Question #1 Report Error

At what rate percent per annum will Rs. 32000 amount to Rs. 37232 in 3 years, compound interest compounded annually?

A. 4%

B. 5%

C. 6%

D. 8%

Correct Answer: Option B

Explanation:
Amount/Principal = 37232 / 32000 = 4654 / 4000 = 9261 / 8000 = (21 / 20)^3. Therefore, 1 + R/100 = 21/20 => R/100 = 1/20 => R = 5%.

This question belongs to: Maths Compound Interest

Question #2 Report Error

A sum of money doubles in 6 years at compound interest. In how many years will it become 8 times?

A. 14 years

B. 12 years

C. 16 years

D. 18 years

Correct Answer: Option D

Explanation:
2³ = 8, so 6 × 3 = 18 years.

This question belongs to: Maths Compound Interest

Question #3 Report Error

The compound interest on a sum for 1 year at 10% compounded half-yearly is Rs. 102.50. The sum is:

A. Rs. 1100

B. Rs. 950

C. Rs. 1000

D. Rs. 1050

Correct Answer: Option C

Explanation:
A = P(1.05)² = 1.1025P, CI = 0.1025P = 102.50 ⇒ P = 1000.

This question belongs to: Maths Compound Interest