The compound interest on a sum for 2 years at 10% compounded half-yearly is Rs. 215.50. The sum is: MCQ with Answer and Explanation

The compound interest on a sum for 2 years at 10% compounded half-yearly is Rs. 215.50. The sum is:

A. Rs. 900

B. Rs. 1000

C. Rs. 1050

D. Rs. 950

Answer: Option B

Half-yearly rate 5%, n=4. CI = P[(1.05)⁴ − 1] = P × 0.21550625 = 215.50 ⇒ P = 215.50 / 0.21550625 = 1000.

This question belongs to: Maths Compound Interest

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Question #1 Report Error

In how many years will Rs. 5000 amount to Rs. 6655 at 10% compound interest?

A. 2.5 years

B. 3 years

C. 2 years

D. 3.5 years

Correct Answer: Option B

Explanation:
5000(1.1)^t = 6655 ⇒ (1.1)^t = 1.331 = (1.1)³ ⇒ t = 3.

This question belongs to: Maths Compound Interest

Question #2 Report Error

A sum of money at compound interest amounts to Rs. 1352 in 2 years and Rs. 1406.08 in 3 years. Find the sum.

A. Rs. 1200

B. Rs. 1250

C. Rs. 1350

D. Rs. 1300

Correct Answer: Option B

Explanation:
Rate = (1406.08/1352 − 1)×100 = 4%. P = 1352 / (1.04)² = 1352 / 1.0816 = 1250.

This question belongs to: Maths Compound Interest

Question #3 Report Error

A sum of money invested at compound interest doubles itself in 12 years. In how many years will it become 4 times of itself?

A. 18 years

B. 24 years

C. 36 years

D. 30 years

Correct Answer: Option B

Explanation:
The sum doubles (2^1) in 12 years. It will become 4 (2^2) times in 2 * 12 = 24 years.

This question belongs to: Maths Compound Interest