SIMPLE INTEREST & COMPOUND INTEREST

1. A sum fetched a total simple interest of Rs 1200 at the rate of 7.5%/yr in 4 years. What is
the sum (in Rs)?
(a) 4000 (b) 6000 (c) 8000 (d) 7500

2. A sum of money becomes five times of itself in 5 years at a certain rate of interest. Find the
rate of interest?
A. 60% B. 70% C. 90% D. 80% E. None of these

3. A sum of Rs 720 amounts to Rs 882 at simple interest in 1 ½ years. In how many years will
the sum RS 800 amounts to RS 1040 at the same rate?
(a) 3 (b) 2 (c) 4 (d) 6
4. A sum of Rs 400 becomes Rs 448 at simple interest in 2 years. In how many years will the
sum of Rs 550 amounts to Rs 682 at the same rate?
(a) 2 (b) 3 (c) 3.5 (d) 4

5. Simple Interest received by a person in 10 years on a principal of Rs 9500 is 130% of the

6. A man took loan from a bank at the rate of 12% p.a. simple interest. After 3 years he had
to pay Rs. 5400 interest only for the period. The principal amount borrowed by him
was:
a.Rs. 2000 b.Rs. 10,000 c.Rs. 15,000 d.Rs. 20,000 e. None of these
7. A person borrows `5000 for 2 years at 4% p.a. simple interest. He immediately lends it to
another person at 6 ¼ % p.a. for 2 years. Find his gain in the transaction per year.
(a) `112.50 (b) `125 (c) `150 (d) `167.50

8. A sum of Rs. 12,000 invested at 8% simple interest becomes Rs. 15840 in x years and
another sum of Rs. 15,000 invested at 12% simple interest becomes Rs. 18,600 in y years.
Find the value of x + y.
A. 6 B. 7 C. 5 D. 8 E. 10
9. A sum invested at 10% simple interest per annum grows to Rs. 900 in 5 years. The same
amount at 15% simple interest per annum in 2.5 years will grow to?
A. 830 B. 835 C. 825 D. 820 E. None of these

10.A sum of money lent out at simple interest amounts to `1008 in 2 years and `1164 in 3 ½
years. Find the rate % p.a.
(a) 13% (b) 14% (c) 1212 % (d) 15%

11.A sum of money lent out at simple interest amounts to `720 after 2 years and to `1,020
after a further period of 5 years. Find the sum and the rate %.
(a) `500, 10% (b) `600, 10% (c) `500, 12% (d) `600, 12%
12.A sum was put at simple interest at a certain rate for 4 years. Had it been put at 2% higher
rate, it would have fetched `56 more. Find the sum.
(a) `500 (b) `600 (c) `700 (d) `800

13.The simple interest on a certain sum for 8 months at 4% per annum is Rs. 129 less than
the simple interest on the same sum for 15 months at 5% per annum. The sum is:
a. Rs. 2580 b. Rs. 2400 c. Rs. 2529 d. Rs. 3600 e. Rs. 4800

14. Adam borrowed some money at the rate of 6% p.a. for the first two years, at the rate of
9% p.a. for the next three year, and at the rate of 14% p.a. for the period beyond five
years. If he pays a total interest of `11,400 at the end of nine years, how much money did
he borrow?
 (a) `10,000 (b) `12,000 (c) `14,000 (d) `16,000

15.The interest earned when Rs. P is invested for Six years in a scheme offering 13% pa simple
interest is more than the interest earned when the same sum (Rs.P) is invested for Three
years in another scheme offering 10% pa simple interest, by Rs. 3168. What is the value of
P?
A. 5500 B. 6600 C. 4400 D. 3300 E. none of these
16.Out of a sum of Rs 850, a part was lent at 6% SI and the other at 12% SI. If the interest on
the first part after 2 years is equal to the interest on the second part after 4 years, then the
second sum is
A) Rs350 B) Rs280 C) Rs170 D) Rs220 E) None

17.Ashok has Rs 1,60,000 with him. He lends some money at 7% p.a. and rest of the money at
12% p.a. simple interest. He receives a total of Rs 14400 at the end of 1 year. What is the
amount lent at 12% per annum?
A. Rs. 56000 B. Rs. 64000 C. Rs. 72000 D. Rs. 96000 E. None of these
18.A father left a will of `68,000 to be divided between his two sons aged 10 years and 12
years such that they may get equal amount when each attains the age of 18 years If the
money is reckoned at 10% p.a. Find how much each gets at the time of the will.
(a) `30,000, ` 38,000 (b) `28,000, `40,000 (c) `32,000, `36,000 (d) cannot be
deteermined.

19.Divide `2379 into 3 parts so that their amounts after 2, 3 and 4 years respectively
may be equal, the rate of interest being 5% per annum at simple interest. The first
part is:
(a) 759 (b) 792 (c) 818 (d) 828
20.A person invested a total sum of Rs 7900 in three different schemes of simple interest at
3%, 5% and 8% per annum. At the end of one year he got same interest in all three
schemes. What is the money (in Rs) invested at 3%?
(a) 2900 (b) 3500 (c) 4000 (d) 5600

21.Rajat lends Rs. 20,000 to two of his friends. He gives Rs.10,000 to the first at 15% p.a.
simple interest. Rajat wants to make a profit of 20% on the whole. The simple interest rate
at which he should lend the remaining sum of money to the second friend is
A. 12% B. 16% C. 20% D. 25% E. None of these
22.Ankit invests Rs.15000 as fixed deposit in a bank at the rate of 12% per annum simple
interest. But due to some pressing needs, he has to withdraw the entire money after 5
years for which the bank allowed him a lower rate of interest. If he gets Rs. 6420 less than,
what he would have got at the end of 8 years, then rate of interest allowed by the bank is:
A. 4.68% B. 10.64% C. 8.64% D. 6.84% E. None of these

23.What will be the ratio of simple interest earned by certain amount at the same rate of
interest for 6 years and that for 9 years?
(a) 1:3 (b) 1:4 (c) 2:3 (d) Data inadequate
24. Reena took a loan of Rs. 1200 with simple interest for as many years as the rate of
interest. If she paid Rs. 432 as interest at the end of the loan period, what was the rate of
interest?
a. 3.6 b. 6 c. 18 d. Cannot be determined e. None of these

25.Mohan lent some amount of money at 9% simple interest and an equal amount of money
at 10% simple interest each for two years. If his total interest was Rs. 760, what amount
was lent in each case?
a. Rs. 1700 b. Rs. 1800 c. Rs. 1900 d. Rs. 2000
26.what annual installment will discharge a debt of 4420 due in 4 years at 7% pa?

27.The annual payment of 600 is 5 years at the rate of 10% pa SI will discharge a debt of what
amount ?
28.an apple phone can be purchased on cash payment of 1500. But the same phone can also
be purchased on cash down payment of 350 and the rest to be paid in 3 equal instalment
of 400. Find the rate of SI?
29.A person deposited Rs. 400 for 2 years, Rs. 550 for 4 years and Rs. 1200 for 6 years. He
received the total simple interest of Rs. 1020. The rate of interest per annum is (rate of
interest in each case is same)
a.10% b. 5% c. 15% d. 20% e. 25%

30.A lent `5000 to B for 2 years and `3000 to C for 4 years on simple interest at the same rate
of interest and received `2200 in all from both of them as interest. The rate of interest per
annum is:
(a) 5% (b) 7% (c) 7 1/8 % (d) 10%
 Compound interest
1. A sum of Rs.1000 was invested at 10% pa CI for 2 years. What will be the CI earned?
2. Find the compound interest on the sum of Rs. 1200 for 2 years at the rate of 8.5%
per annum?
a) 200 b) 208.33 c) 308.33 d) None of these

3. The principal that yields a compound interest of Rs. 420 during the second year at
5% per annum is
a.Rs. 7000 b.Rs. 5000 c.Rs. 8000 d.Rs. 6000 e.none of these

4. What is the compound interest (in Rs) for 1 year on a sum of Rs 20000 at the rate of
40% per annum compounding half yearly?
(a) 8000 (b) 8650 (c) 8750 (d) 8800
5. Find the compound interest on Rs. 10,000 at 20% per annum for 6 months.
compounded quarterly.
a. Rs.4353 b. Rs. 1329 c. Rs. 1025 d. Rs. 2649 e. None of these

6. The compound interest of Rs.16000 for 9 months at 20%pa, interest being

7. Find the Compound interest on a sum of Rs. 1000 for 2.5 years at the rate of 10% per
annum?
a) 270.5 b) 300 c) 270 d) 250
8. the compound interest on Rs. 8000 at 15% pa for 2 years 4 months, compounded
annually is.

9. Find the compound interest on Rs.20000 at 2%,3% and 4% for 3 consecutive years?

10.Find the difference between simple and compound interest on Rs. 6000 for 1 year at
20% per but interest is calculated on half yearly basis.
a. Rs.120 b. Rs.60 c Rs.180 d.. Rs.72 e. Rs.108
11.Find the difference between Ci & Si on the sum of Rs. 15000 for 2.5 years at 10% per
annum?
a) 307.5 b) 407.5 c) 807.5 d) None of these

12.If the difference between S.I. and C.I. for 2 years on a sum of money lent at 5% is
Rs.6, then the sum
(a) `2200 (b) `2400 (c) `2600 (d) `2000
13.C.I. and S.I. for a certain sum at certain rate of interest for 2 years are Rs. 220 and
Rs. 200. Find the principal amount.
a. Rs. 2200 b. Rs. 200 c. Rs. 500 d. Rs. 2000 e. Rs. 2400

14.The simple and compound interest that can be earned in two years at the same rate
is Rs 1,000 and Rs 1,040 respectively. What is the rate (percent per annum) of
interest?
(a) 9 (b) 10 (c) 8 (d) 11

15.If the compound interest on a sum for 2 years at 12.5% per annum is Rs. 510 , the
simple interest on the same sum at the same rate for the same period of time is ;
a) 520 b) 420 c) 480 d) 120

16.
17. Find the Principle if the compound interest earned in 2 years at the rate of 8% per
annum is Rs 1.664?
a) 20 b) 10 c) 30 d) 100

18. If the compound interest on a sum for 2 years at 12.5% per annum is Rs. 510 , the
simple interest on the same sum at the same rate for the same period of time is ;
 a) 520 b) 420 c) 480 d) 120

19. The simple interest on a certain sum of money for 3 years at 8% per annum is half
the compound interest on Rs. 4000 for 2 years @ 10% per annum. The sum placed
on the simple interest is;
a) 1750 b) 2750 c) 2875 d) 2975

20. If Rs. 12000 is lent at 10% p.a. (compound interest) compounded half yearly for
one year. What is the equivalent simple rate of interest for 1 year for same
interest?
a. 10.25% p.a b. 9.24% p.a c. 6.26% p.a d. 8.42% p.a
e. 12.25% p.a
 21. If the amount received at the end of 2nd and 3rd year as Compound
Interest on a certain Principal is Rs 2100, and Rs 2268 respectively, what is
the rate (in %) of interest?
a)7 (b) 8 (c) 9 (d) 10

22. The C.I. on a certain sum of money for the 4th year at 8% p.a. is `486. What was the
compound interest for the third year on the same sum at the same rate?
(a) `450 (b) `475 (c) `456 (d) None of these
23. At what percent pr annum will Rs. 3000 amounts to Rs. 3993 in 3 years, if the interest
in compounded annually?
a. 9% b. 10% c. 11% d. 13% e. 15%

24.A certain amount of money is lent out at compound interest at the rate of 20% per
annum for two years, compounded annually. It would give Rs. 482 more if the amount
is compounded half yearly. Find the principle.
A. Rs. 30000 B. Rs. 10000 C. Rs. 15000 D. Rs. 25000
E. None of these
25.A sum of money doubles itself at compound interest in 5 years. In how many years will
it become eight times?
a.20 years b. 25 years c. 30 years d. 15 years e. None of these

26.The principal that yields a compound interest of Rs. 420 during the second year at 5%
per annum is
a.Rs. 7000 b.Rs. 5000 c.Rs. 8000 d.Rs. 6000 e.none of these

27.A sum of Rs.420 is to be paid back in two equal installments. Find the value of
installment if the interest is compounded annually at 10% per annum?
28.A sum of Rs.6620 is to be paid back in three equal installments. Find the value of
installment. If the interest is compounded annually at 10% pa?
29.A man borrows money on compound interest and return it in two equal half yearly
installment of 4410 each. Find the interest charged if the rate of interest is 10% per
annum compound half yearly?

30.A man borrows Rs.10500 on compound interest and return it in two equal installment.
Find the value of installment if the interest is compounded annually at 12% pa?