Practice MCQ Questions and Answer on Compound Interest

1.

The difference between CI and SI for 3 years Rs. 992. If rate of interest is 10%. Find the Principal ?

  • (A) Rs. 22000
  • (B) Rs. 30000
  • (C) Rs. 28000
  • (D) Rs. 32000

2.

A loan of Rs. 12300 at 5% per annum compound interest, is to be repaid in two equal annual installments at the end of every year. Find the amount of each installment ?

  • (A) Rs. 6651
  • (B) Rs. 6615
  • (C) Rs. 6516
  • (D) Rs. 6156

3.

At what rate percent per annum will a sum of Rs. 15,625 amount to Rs. 21,952 in three years, if the interest is compounded annually?

  • (A) 12%
  • (B) 8%
  • (C) 9%
  • (D) 10%

4.

A sum of Rs. 12,000 amounts to Rs. 20,736 in 3 years at a certain rate percent per annum interest compounded annually. What will amount of the same sum to in 2 years at the same rate on compound interest?

  • (A) Rs. 15,640
  • (B) Rs. 17,820
  • (C) Rs. 17,280
  • (D) Rs. 14,520

5.

What is the compound interest on Rs. 5,000 for 2 years at 10%, per annum, compounded half-yearly?

  • (A) Rs. 1,025.00
  • (B) Rs. 2,320.50
  • (C) Rs. 1,050.00
  • (D) Rs. 1,077.50

6.

A sum amount to Rs. 7,562 in 4 years and to Rs. 8,469.44 in 5 years at a certain rate percent per annum, when the interest is compounded yearly. The rate of interest is:

  • (A) 8%
  • (B) 12%
  • (C) 20%
  • (D) 15%

7.

Shashi had a certain amount of money. He invested 23 of the total money in scheme A for 6 years and rest of the money he invested in scheme B for 2 years. Scheme A offers simple interest at a rate of 12% p.a. and scheme B offers compound interest ( compound annually) at a rate of 10% p.a. If the total interest obtained from both the schemes is Rs. 2750. What was the total amount invested by him in scheme A and scheme B together ? (Approximate value)

  • (A) Rs. 4500
  • (B) Rs. 4200
  • (C) Rs. 4050
  • (D) Rs. 5000

8.

At what percent is the annual compound interest rate taken such that a certain sum amounts to its 16 times in 4 years?

  • (A) 175%
  • (B) 100%
  • (C) 200%
  • (D) 75%

9.

At what rate of compound interest per annum will a sum of Rs. 1200 become Rs. 1348.32 in 2 years?

  • (A) 6%
  • (B) 6.5%
  • (C) 7%
  • (D) 7.5%

10.

There is 60% increase in an amount in 6 years at simple interest. What will be the compound interest of Rs. 12,000 after 3 years at the same rate?

  • (A) Rs. 2160
  • (B) Rs. 3120
  • (C) Rs. 3972
  • (D) Rs. 6240