The compound interest on Rs. 4000 at 10% per annum for 1 year compounded half-yearly is: MCQ with Answer and Explanation

The compound interest on Rs. 4000 at 10% per annum for 1 year compounded half-yearly is:

A. Rs. 410

B. Rs. 420

C. Rs. 440

D. Rs. 400

Answer: Option A

A = 4000 × (1.05)² = 4000 × 1.1025 = 4410, CI = 4410 − 4000 = Rs. 410.

This question belongs to: Maths Compound Interest

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Question #1 Report Error

The difference between simple interest and compound interest on a certain sum of money for 2 years at 6% per annum is Rs. 36. Find the sum.

A. Rs. 10000

B. Rs. 12000

C. Rs. 9000

D. Rs. 11000

Correct Answer: Option A

Explanation:
Difference for 2 years = P * (R/100)^2 => 36 = P * (6/100)^2 => 36 = P * (36 / 10000) => P = Rs. 10000.

This question belongs to: Maths Compound Interest

Question #2 Report Error

A sum of money invested at compound interest doubles itself in 7 years. In how many years will it become 8 times of itself?

A. 21 years

B. 28 years

C. 14 years

D. 35 years

Correct Answer: Option A

Explanation:
The sum doubles (2^1) in 7 years. It will become 8 (2^3) times in 3 * 7 = 21 years.

This question belongs to: Maths Compound Interest

Question #3 Report Error

The difference between simple interest and compound interest on a certain sum of money for 2 years at 10% per annum is Rs. 121. Find the sum.

A. Rs. 13000

B. Rs. 11000

C. Rs. 14000

D. Rs. 12100

Correct Answer: Option D

Explanation:
Difference for 2 years = P * (R/100)^2 => 121 = P * (10/100)^2 => 121 = P * 0.01 => P = Rs. 12100.

This question belongs to: Maths Compound Interest