Compound Interest Installment MCQ Set 2

COMPOUND INTEREST INSTALLMENT MCQ SET 2

1. A sum of Rs.5,19,500 was borrowed at 7 4/5% per annum compound interest and paid back in 2 years in two equal annual installments . What is the installment?

(a) Rs.2,90,521

(b) Rs.2,70,521

(c) Rs.2,80,521

(d) Rs.3,00,521

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Answer: A

2. A loan of Rs.8,925 is to be paid back in two equal half – yearly installments . How much is each installment if the interest is compounded half – yearly at 8% per annum?

(a) Rs.4,372

(b) Rs.4,732

(c) Rs.4,654

(d) Rs.4,564

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Answer: B

3. A loan is to be returned in two equal yearly installments . If the rate of interest is 10% p.a. compounded annually and each installment is Rs.5808 , then 60% of the total interest (nearest to a Rs.) charged in this scheme is :

(a) 917

(b) 911

(c) 913

(d) 922

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Answer: D

4. A sum of Rs.32,760 was taken as a loan . This is to be paid in three equal installments . If the rate of interest is 20% compounded annually , then the value of each installment is:

(a) Rs.10,000

(b) Rs.11,000

(c) Rs.16,552

(d) Rs.15,552

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Answer: D

5. A man borrows Rs.2,196 and agrees to return it with compound interest at the rate of 25% in three equal installments at the end of the first , second and the third year . The amount of installment (Rs. in) is:

(a) 984

(b) 1,125

(c) 1,072

(d) 732

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Answer: B

6. An item is bought on a condition that three equal installments of Rs.3,993 are to be paid at a rate of 10% compound interest , compounded annually . The cost of the item is:

(a) Rs.10,000

(b) Rs.9,050

(c) Rs.9,590

(d) Rs.9,930

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Answer: D

7. A sum is to paid back in 3 equal annual installments . The interest is compounded annually at 30% per annum . If each installment be Rs.21970 then what is the sum?

(a) Rs.39,800

(b) Rs.39,900

(c) Rs.39,950

(d) Rs.39,990

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 Answer: B

8. A man borrowed a certain sum and agrees to repay it by paying Rs.4000 at the end of first year and Rs.7700 at the end of second year . If the rate of compound interest compounded annually is 10% per annum , then find the sum (in Rs.)

(a) 11,500

(b) 11,000

(c) 9,000

(d) 10,000

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Answer: D

9. Atul borrowed a sum of Rs.12,000 and agreed to repay it by paying Rs.4,800 at the end of first year and Rs.9,240 at the end of second year . What is the rate of compound interest compounded annually?

(a) 10%

(b) 12%

(c) 8.5%

(d) 8%

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Answer: A

10. A man borrowed Rs.9000 at the rate of 10% p.a. compound interest . At the end of every year he return Rs.3000 . At the end of 3rd year how much money should he paid so that the whole sum be paid .

(a) 5,049

(b) 5,050

(c) 5,070

(d) 5,060

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Answer: A