Test Level 3: Simple & Compound Interest - CAT MCQ

Net rate = 2%
SI at 2% of money transacted = 
x = 120 crore

Amounts at compound interest yearly = 
Amounts at compound interest half yearly = 
Difference between amounts Amit will get = Rs. 5000 
= Rs. 5000(1.2155 - 1.21)
= Rs. 27.50

Let principal = P
Amount after 4 years = Rs. 1300
Amount after 7 years = Rs. 1525
Simple interest for 3 years = 1525 - 1300 = Rs. 225
Simple interest for 1 year = 225/3 = Rs. 75
Simple interest for 4 years = 4 × 75 = Rs. 300
Principal = Amount - SI
P = 1300 - 300 = Rs. 1000

 Let principal = P
Required time = t
Amount at 25% simple interest = P + (P × 25 × t)/100
Amount at 20% compound interest = 
According to the question,

If he waits up to 4 years, he will bear a loss.
So, he can wait for up to 3 years.

Cost of bike = Rs. 51,250
Down payment = Rs. 9,575
Monthly installment = Rs. 1300 for 36 Months
Amount paid for total installments = 36 × 1300 = Rs. 46,800
Total Amount paid = Rs. 46,800 + Rs. 9,575 = Rs. 56, 375
So, S. I. = Rs. 56,375 - Rs. 51,250 = Rs. 5125
Now, 
R = 10%

Given, initial amount = Rs. 12,820
Amount to be paid after one year = Rs. 12,820 + Rs. 1282 = Rs.14,102.
If Raghav`s first year instalment is `Rs. a`, then the principal for second year = Rs. (14,102 - a).
Amount to be paid after two years = Rs. 11/10 x (14,102 - a) = Rs. (15,512.2 - 1.1a)
If Raghav's second year instalment is 'Rs. 2a', then principal for third year = Rs. ( 15,512.2 - 1.1a - 2a) = Rs. (15,512.2 - 3.1a)
∴ Amount to be paid after three years = Rs. 11/10 x  (15,512.2 - 3.1a) = Rs. (17,063.42 - 3.41a)
Also, amount to be paid in third year = Rs. 3a
⇒ 17,063.42 - 3.41a = 3a
6.41a = 17063.42
a = 2662
Thus, third instalment = Rs. 3a = Rs. 7986

Let the 1st installment be Rs. x.
According to the given condition, = Rs. 32,400
2x + 2300 = Rs. 2700
2x = Rs. 400
x = Rs. 200

Let the amount deposited for 4 years be 15d.
Let the rate of deposited per annum be i.
Let the amount deposited for 3 years be a.
Let the amount deposited for 5 years be c.
So, a x 3 x i = 15 x d x 4 x i
Or, a = 20d ... (i)
Also,
c x 5i = 15d x 4 x i
Or, c = 12d ... (ii)
Now, a + 15d + c = Rs. 9400 ... (iii)
20d + 15d + 12d = 9400
d = 200
Plugging in values of a, and c from equations (i) and (ii) into equation (iii), and solving for d, we get d = Rs. 200
Thus, amount deposited for 5 years = 12d = 12 x Rs. 200 = Rs. 2400

At 10% simple interest per year, the amount would double in 10 years. Thus, the original borrowin would be 22500/2 = 11250.

The simple interest would be defined on the basis of the sum of the AP. 50000 + 47500 + 45000 + … + 2500 = 525000.