Compound Interest MCQ Set 9

COMPOUND INTEREST MCQ SET 9

1. A sum of Rs.10,000 is invested for 17 months at 8% per annum compounded half yearly . What is the percentage gain at the end of 17 month , nearest to one decimal place?

(a) 12.0%

(b) 12.2%

(c) 12.4%

(d) 11.8%

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Answer: D

2. Find the amount (integral value only) if a sum of Rs.6,500 is being borrowed at 10% interest per annum for 2 years if interest is compounded half – yearly .

(a) Rs.7,900

(b) Rs.8,150

(c) Rs.8,250

(d) Rs.7,650

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Answer: A

3. A sum of Rs.1200 is invested at compound interest (compounded half yearly) . If the rate of interest is 10% per annum , then what will be the amount after 18 months?

(a) Rs.1,389.15

(b) Rs.1,185.45

(c) Rs.1,563.25

(d) Rs.1,295.35

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Answer: A

4. If the rate of compound interest , compounded half – yearly , is 20% per annum , then calculate the interest to be paid on Rs.100000 for 2 years .

(a) Rs.46,410

(b) Rs.44,000

(c) Rs.21,000

(d) Rs.33,100

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Answer: A

5. What is the effective rate of interest corresponding to a rate of 10% per annum compounded half – yearly ?

(a) 10.75%

(b) 10.5%

(c) 10%

(d) 10.25%

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Answer: D

6. What is the difference between the compound interest on Rs.10000 for 2 years at 20% per annum when the interest are compounded half yearly and yearly?

(a) Rs.440

(b) Rs.241

(c) Rs.441

(d) Rs.240

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Answer: B

7. What is the difference between the compound interest (in Rs.) compounded yearly and compounded half – yearly for 18 months at 20% per annum on a sum Rs.12,000?

(a) 145

(b) 165

(c) 121

(d) 132

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 Answer: D

8. The difference in the compound interest on a certain sum at 10% p.a. for one year , when the interest is compounded half yearly and yearly is Rs.88.80 . What is the simple interest on this same sum for 1 2/3 years at the same rate?

(a) Rs.5,916

(b) Rs.5,986

(c) Rs.5,980

(d) Rs.5,920

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Answer: D

9. What will be the difference in compound interest on a sum of Rs.7,800 at 8% for 1 year , when the interest is paid yearly and half yearly?

(a) Rs.24.72

(b) Rs.12.48

(c) Rs.29.18

(d) Rs.19.46

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Answer: B

10. A certain sum amounts to Rs.15,500 in 2 years at 12% p.a. simple interest . The same sum will amount to what in 1½ years at 10% p.a. , if the interest is compounded half yearly (nearest to Rs.1)?

(a) Rs.14,470

(b) Rs.13,460

(c) Rs.14,360

(d) Rs.15,125

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Answer: A