What is the compound interest on Rs. 50000 for 1 year at 16% per annum, compounded half-yearly? MCQ with Answer and Explanation

What is the compound interest on Rs. 50000 for 1 year at 16% per annum, compounded half-yearly?

A. Rs. 8000

B. Rs. 8500

C. Rs. 8320

D. Rs. 8600

Answer: Option C

Solution (By JKExamLibrary)

Half-yearly rate = 16/2 = 8%. Time = 2 half-years. Amount = 50000 * (1 + 8/100)^2 = 50000 * 1.1664 = Rs. 58320. Compound Interest = 58320 - 50000 = Rs. 8320.

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 8% per annum is Rs. 128. Find the sum.

A. Rs. 24000

B. Rs. 22000

C. Rs. 20000

D. Rs. 18000

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Correct Answer: Option C

Explanation:
Difference for 2 years = P * (R/100)^2 => 128 = P * (8/100)^2 => 128 = P * (64 / 10000) => P = (128 * 10000) / 64 = Rs. 20000.

This question belongs to: Maths Compound Interest

Question #2 Report Error

The difference between CI and SI on Rs. 4200 for 2 years at 5% is:

A. Rs. 8.40

B. Rs. 9.00

C. Rs. 10.50

D. Rs. 12.00

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Correct Answer: Option C

Explanation:
D = 4200 × 0.0025 = Rs. 10.50.

This question belongs to: Maths Compound Interest

Question #3 Report Error

A sum of money at compound interest becomes 2 times in 3 years. In how many years will it become 32 times?

A. 15 years

B. 21 years

C. 18 years

D. 12 years

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Correct Answer: Option A

Explanation:
32 = 2⁵, so 3 × 5 = 15 years.

This question belongs to: Maths Compound Interest

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