SIMPLE AND COMPOUND INTEREST (CDS)

Total Questions: 19

1. The rate of interest on two different schemes is the same and it is 20%. But in one of the schemes, the interest is compounded half yearly and in the other the interest is compounded annually. Equal amounts are invested in the schemes. If the difference of the returns after 2 yr is ` 482, then what is the principal amount in each scheme? [2019 (II) Evening Shift]

Correct Answer: (c) ₹20000
Solution:Let the principal be 100x.




2. A lent ₹25000 to B and at the same time lent some amount to C at same 7% simple interest. After 4 yr A received ₹11200 as interest from B and C. How much did A lend to C? [2019 (II) Evening Shift]

Correct Answer: (c) ₹15000
Solution:Let A lent x amount to C.

3. What is the least number of complete years in which a sum of money put out at 40% annual compound interest will be more than tripled? [2019 (I) Morning Shift ]

Correct Answer: (b) 4
Solution:Let P = 100, R = 40%

4. A person divided a sum of ₹17200 into three parts and invested at 5%, 6% and 9% per annum simple interest. At the end of two years, he got the same interest on each part of money. What is the money invested at 9%? [2019 (I) Morning Shift ]

Correct Answer: (b) ₹4000
Solution:A person divided a sum of ₹17200 into three parts. R₁ = 5% , R₂ = 6% R₃ = 9% Time = 2year


5. What is the principal amount which earns ₹210 as compound interest for the second year at 5% per annum? [2018 (II) Evening Shift ]

Correct Answer: (c) ₹4000
Solution:Let principal be ₹P.



6. Two equal amounts were borrowed at 5% and 4% simple interest. The total interest after 4 yr amounts to ₹405. What was the total amount borrowed? [2018 (II) Evening Shift ]

Correct Answer: (c) ₹1125
Solution:Let the amount borrowed be ₹P each for both the rates.

7. A person borrowed ₹5,000 at 5% rate of interest per annum and immediately lent it at 5.5%. After two years he collected the amount and settled his loan. What is the amount gained by him in this transaction? [2018 (I) Morning Shift]

Correct Answer: (b) ₹50
Solution:Principal = ₹5000 and time period = 2 year

8. A merchant commences with a certain capital and gains annually at the rate of 25%. At the end of 3 yr he has ₹10000. What is the original amount that the merchant invested? [2018 (I) Morning Shift]

Correct Answer: (a) ₹5120
Solution:Let the original amount be ₹x.

9. The difference between the compound interest (compounded annually) and simple interest on a sum of money deposited for 2 yr at 5% per annum is ₹15. What is the sum of money deposited? [2017 (II) Evening Shift ]

Correct Answer: (a) ₹6000
Solution:Let the sum of money deposited by ₹P. Then, according to given condition CI − SI = 15

10. A sum of ₹8400 was taken as a loan. This is to be paid in two equal instalments. If the rate of interest is 10% per annum, compounded annually, then the value of each instalment is [2017 (I) Morning Shift ]

Correct Answer: (c) ₹4840
Solution:We have,