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Interest (Simple & Compound) MCQs for UPPSC (UP) Exam
It covers all Important Questions with answers on Interest (Simple & Compound) for the UPPSC (UP) exam. The questions are based on important topics. Details about the questions:- Topic: Interest (Simple & Compound)
- Type of Questions: MCQs with solutions
- Number of Questions: 40
- You can attempt them on EduRev to score high in UPPSC (UP) exam.
Can you explain the answer of this question below:A sum of money amounts to Rs.9800 after 5 years and Rs.12005 after 8 years at the same rate of simple interest. The rate of interest per annum is- A:15%
- B:12%
- C:8%
- D:5%
The answer is B.
 | Arya Roy answered |
We can get SI of 3 years = 12005 - 9800 = 2205
SI for 5 years = (2205/3)*5 = 3675 [so that we can get principal amount after deducting SI]
Principal = 12005 - 3675 = 6125
So Rate = (100*3675)/(6125*5) = 12%
If the simple interest on a certain sum of money after 25/8 years is 1/4 of the principal, what is the rate of interest per annum?- a)6%
- b)4%
- c)8%
- d)12%
Correct answer is option 'C'. Can you explain this answer?
If the simple interest on a certain sum of money after 25/8 years is 1/4 of the principal, what is the rate of interest per annum?
a)
6%
b)
4%
c)
8%
d)
12%
 | Rahul Mehta answered |
Take P=x
given T=25/8
& I=1/4x
w.k.t I=PTR/100
1/4x =x*25/8*R/100
R = 8%
given T=25/8
& I=1/4x
w.k.t I=PTR/100
1/4x =x*25/8*R/100
R = 8%
A sum of money at simple interest amounts to Rs. 815 in 3 years and to Rs. 854 in 4 years. The sum is :- a)Rs. 700
- b)Rs. 690
- c)Rs. 650
- d)Rs. 698
Correct answer is option 'D'. Can you explain this answer?
a)
Rs. 700
b)
Rs. 690
c)
Rs. 650
d)
Rs. 698
 | Dhruv Mehra answered |
S.I. for 1 year = Rs. (854 - 815) = Rs. 39.
S.I. for 3 years = Rs.(39 * 3) = Rs. 117.
Principal = Rs. (815 - 117) = Rs. 698.
A bank offers 5% compound interest calculated on half-yearly basis. A customer deposits Rs. 1600 each on 1st January and 1st July of a year. At the end of the year, the amount he would have gained by way of interest is: - a)Rs. 120
- b)Rs. 121
- c)Rs. 123
- d)Rs. 122
Correct answer is option 'B'. Can you explain this answer?
A bank offers 5% compound interest calculated on half-yearly basis. A customer deposits Rs. 1600 each on 1st January and 1st July of a year. At the end of the year, the amount he would have gained by way of interest is:
a)
Rs. 120
b)
Rs. 121
c)
Rs. 123
d)
Rs. 122
 | Ishani Rane answered |
The difference between simple interest and compound on Rs. 900 for one year at 10% per annum reckoned half-yearly is: - a)Rs. 3
- b)Rs. 2.25
- c)Rs. 4.5
- d)Rs. 4
Correct answer is option 'B'. Can you explain this answer?
a)
Rs. 3
b)
Rs. 2.25
c)
Rs. 4.5
d)
Rs. 4
 | Maheshwar Banerjee answered |
Hence Option B is correct
For Complete syllabus of Quant for CAT click on the link given below:
Simple interest on a certain sum of money for 4 years at 5% per annum is half the compound interest on Rs. 3000 for 2 years at 10% per annum. The sum placed on simple interest is: - a)Rs.1575
- b)Rs. 2200
- c)Rs. 1200
- d)Rs. 1625
Correct answer is option 'A'. Can you explain this answer?
a)
Rs.1575
b)
Rs. 2200
c)
Rs. 1200
d)
Rs. 1625
 | KS Coaching Center answered |
C.I = P[(1 + r/100)n - 1]
C.I = 3000[(1 + 0.10)2 - 1]
= 3000(1.21 - 1)
⇒ 3000 * 0.21
⇒ 630
S.I = 630/2
⇒ 315
As we know that, P = (SI * 100)/(R * T)
⇒ (315 * 100)/(4 * 5)
⇒ 1575
C.I = 3000[(1 + 0.10)2 - 1]
= 3000(1.21 - 1)
⇒ 3000 * 0.21
⇒ 630
S.I = 630/2
⇒ 315
As we know that, P = (SI * 100)/(R * T)
⇒ (315 * 100)/(4 * 5)
⇒ 1575
An automobile financier claims to be lending money at simple interest, but he includes the interest every six months for calculating the principal. If he is charging an interest of 10%, the effective rate of interest becomes:- a)10%
- b)10.25%
- c)10.5%
- d)None of these
Correct answer is option 'B'. Can you explain this answer?
a)
10%
b)
10.25%
c)
10.5%
d)
None of these
 | Master Training Institute answered |
B is the correct option. Solution
6 months interest will be 5%
next 6 months interest will be 5%
percentage effect = 5 + 5 +25/100
= 10.25 Ans
6 months interest will be 5%
next 6 months interest will be 5%
percentage effect = 5 + 5 +25/100
= 10.25 Ans
A lends Rs. 1500 to B and a certain sum to C at the same time at 8% per annum simple interest. If after 4 years, A altogether receives Rs. 1400 as interest from B and C, then the sum lent to C is A.- a)Rs.2875
- b)Rs.1885
- c)Rs.2245
- d)Rs.2615
Correct answer is option 'A'. Can you explain this answer?
A lends Rs. 1500 to B and a certain sum to C at the same time at 8% per annum simple interest. If after 4 years, A altogether receives Rs. 1400 as interest from B and C, then the sum lent to C is A.
a)
Rs.2875
b)
Rs.1885
c)
Rs.2245
d)
Rs.2615
 | EduRev SSC CGL answered |
A is the correct option.
Simple interest on the total money lent at
8% FOR 4 YEARS = 1400
Total money lent
= 100/8 × 1400/4 =4375
Therefore, money lent to C
= 4375- 1400 = 2875
Simple interest on the total money lent at
8% FOR 4 YEARS = 1400
Total money lent
= 100/8 × 1400/4 =4375
Therefore, money lent to C
= 4375- 1400 = 2875
Arun took a loan of Rs. 1400 with simple interest for as many years as the rate of interest. If he paid Rs.686 as interest at the end of the loan period, what was the rate of interest?- a)8%
- b)6%
- c)4%
- d)7%
Correct answer is option 'D'. Can you explain this answer?
a)
8%
b)
6%
c)
4%
d)
7%
 | Meghana Mishra answered |
Simple Interest (SI) = P N R / 100
P is the Principal loan amount = Rs.1400
N is the number of years of deposit
R is the rate of interest
It is given that the loan period is as many years as the rate of interest.
So, N = R
Interest at the end of the loan period (SI ) = Rs.686
So,
686 = 1400 * R * R /100
R^2 = 686*100 /1400
R^2 = 49
R = 7%
What will be the compound interest on a sum of Rs. 40,000 after 3 years at the rate of 11 p.c.p.a.? - a)Rs. 14705.24
- b)Rs. 14602.25
- c)Rs. 14822.26
- d)Rs. 14322.10
Correct answer is option 'A'. Can you explain this answer?
a)
Rs. 14705.24
b)
Rs. 14602.25
c)
Rs. 14822.26
d)
Rs. 14322.10
| | Rhea Reddy answered |
Amount after 3 years = P(1 + R/100)T
=> 40000(1 + 11/100)3
=> 40000(111/100)3
=> 40000[(111*111*111)/(100*100*100)]
=> (4*111*111*111)/100
=> 54705.24
Compound Interest = 54705.24 - 40000
= Rs. 14705.24
=> 40000(1 + 11/100)3
=> 40000(111/100)3
=> 40000[(111*111*111)/(100*100*100)]
=> (4*111*111*111)/100
=> 54705.24
Compound Interest = 54705.24 - 40000
= Rs. 14705.24
The least number of complete years in which a sum of money put out at 20% compound interest will be more than doubled is- a)5
- b)4
- c)6
- d)2
Correct answer is option 'B'. Can you explain this answer?
a)
5
b)
4
c)
6
d)
2
 | Anaya Patel answered |
P [1 + (r/100)]n > 2P
⇒ P [1 + (20/100)]n > 2P
[1 + (2/10) ]n > 2
[12 / 10]n > 2
[6/5]n > 2
{6/5 * 6/5 * 6/5 * 6/5} > 2
∴ n = 4
⇒ P [1 + (20/100)]n > 2P
[1 + (2/10) ]n > 2
[12 / 10]n > 2
[6/5]n > 2
{6/5 * 6/5 * 6/5 * 6/5} > 2
∴ n = 4
The Simple interest on a certain sum for 2 years at 20% per annum is Rs. 80. The corresponding compound interest is - a)Rs. 66
- b)Rs. 82
- c)Rs. 86
- d)Rs. 88
Correct answer is option 'D'. Can you explain this answer?
The Simple interest on a certain sum for 2 years at 20% per annum is Rs. 80. The corresponding compound interest is
a)
Rs. 66
b)
Rs. 82
c)
Rs. 86
d)
Rs. 88
 | Savitri Verma answered |
Time =2. rate =20%. p=? SI =80
p=SI*100/R*T p=80×100/20×2
p=200. A=p(1+R/100)^n
A=200(1+20/100)^2
A=200×12×12/100×100
A=288
( CI=A-P)
CI =288-200 = 88
p=SI*100/R*T p=80×100/20×2
p=200. A=p(1+R/100)^n
A=200(1+20/100)^2
A=200×12×12/100×100
A=288
( CI=A-P)
CI =288-200 = 88
A man took loan from a bank at the rate of 8% p.a. simple interest. After 4 years he had to pay Rs. 6200 interest only for the period. The principal amount borrowed by him was:- a)Rs.17322
- b)Rs.20245
- c)Rs.18230
- d)Rs.19375
Correct answer is option 'D'. Can you explain this answer?
a)
Rs.17322
b)
Rs.20245
c)
Rs.18230
d)
Rs.19375
| | Aarav Sharma answered |
Given:
Rate of interest = 8% p.a.
Interest paid after 4 years = Rs. 6200
To find: Principal amount borrowed
Formula: Simple Interest = (P * R * T) / 100
Where,
P = Principal amount
R = Rate of interest
T = Time (in years)
Calculation:
Let the principal amount be P.
Simple Interest for 4 years = Rs. 6200
=> (P * 8 * 4) / 100 = Rs. 6200
=> 32P = 620000
=> P = Rs. 19375
Therefore, the principal amount borrowed was Rs. 19375.
Rate of interest = 8% p.a.
Interest paid after 4 years = Rs. 6200
To find: Principal amount borrowed
Formula: Simple Interest = (P * R * T) / 100
Where,
P = Principal amount
R = Rate of interest
T = Time (in years)
Calculation:
Let the principal amount be P.
Simple Interest for 4 years = Rs. 6200
=> (P * 8 * 4) / 100 = Rs. 6200
=> 32P = 620000
=> P = Rs. 19375
Therefore, the principal amount borrowed was Rs. 19375.
Can you explain the answer of this question below:Mr. Thomas invested an amount of Rs. 13,900 divided in two different schemes A and B at the simple interest rate of 14% p.a. and 11% p.a. respectively. If the total amount of simple interest earned in 2 years be Rs. 3508, what was the amount invested in Scheme B?- A:Rs. 6400
- B:Rs. 7200
- C:Rs. 6500
- D:Rs. 7500
The answer is A.
A:
Rs. 6400
B:
Rs. 7200
C:
Rs. 6500
D:
Rs. 7500
 | Pallabi Deshpande answered |
A sum of Rs. 14,000 amounts to Rs. 22,400 in 12 years at the rate of simple interest. What is the rate of interest?- a)7%
- b)6%
- c)5%
- d)4%
Correct answer is option 'C'. Can you explain this answer?
a)
7%
b)
6%
c)
5%
d)
4%
 | Aspire Academy answered |
Amount = 22400, P = 14000, T = 12yrs
SI = 22400 - 14000
= 8400
Rate = (8400*100)/(12*14000)
= 5%
SI = 22400 - 14000
= 8400
Rate = (8400*100)/(12*14000)
= 5%
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