COMPOUND INTEREST

1. A sum of money becomes double in 3 years

at compound interest compounded
1 1
(c) 2 (d) 2
annually. At the same rate, in how many 3 2
years will becomes four times of itself? 7. A sum of money at compound interest
doubles itself in 15 years. It will become
eight times of itself in

(a) 4 (b) 6
(c) 3 (d) 5 (a) 45 years / 45
2. An amount of Rs. 6000 lent at 5% per (b) 48 years / 48
annum compound interest for 2 years will
become. (c) 54 years / 54
(d) 60 years / 60
8. At what rate per cent per annum will a sum
of Rs. 1000 amount to Rs. 1102.50 in 2
(a) 6000 (b) 6600 years at compound interest
(c) 6610 (d) 6615
3. At what rate percent per annum of
compound interest , will a sum of money
become four times of itself in two years? (a) 5 (b) 5.5
(c) 6 (d) 6.5
9. A loan of Rs. 12300 at 5% per annum
compound interest, is to be repaid in two
(a) 100 (b) 75 equal annual instalments at the end of
(c) 50 (d) 20 every year. Find the amount of each
4. At which rate of interest per annum will Rs. instalment.
3000 increase to Rs. 3993 in 3 years if the
interest in compounded annually?

(a) Rs. 6651 (b) Rs. 6615

(c) Rs. 6516 (d) Rs. 6156
(a) 9% (b) 10% 10. A sum of money placed at compound
(c) 11% (d) 13% interest doubles itself in 5 years. It will
5. A Sum of Rs. 12000, deposited at amount to eight times itself at the same rate
compound interest becomes double after of interest in
5 years. How much will it be after 20 years?

(a) 7 years / 7
(a) Rs. 144000 (b) Rs. 120000
(b) 10 years / 10
(c) Rs. 150000 (d) Rs. 192000
6. In how many years will a sum of Rs. 800 at (c) 15 years / 15
10% per annum compound interest, (d) 20 years / 20
compounded semi annually becomes Rs. 11. A certain sum of money amounts to Rs.
926.10? 2420 in 2 years and Rs. 2662 in 3 years at
some rate of compound interest,
compounded annually. The rate of interest
per annum is
1 2
(a) 1 (b) 1
2 3
 16. The different between compound and
simple interest on a certain sum for 3 years
(a) 6% (b) 8%
at 5% per annum is Rs. 122. The sum is
(c) 9% (d) 10%
12. The compound interest on Rs. 6000 at 10%
1
per annum for 1 years, when the interest
2
being compounded annually is (a) Rs. 16000 (b) Rs. 80000
(c) Rs. 12000 (d) Rs. 10000
1
1 17. A certain sum amount to Rs. 5832 in 2
2 years at 8% per annum compound interest,
the sum is

(a) Rs. 910 (b) Rs. 870

(c) Rs. 930 (d) Rs. 900 (a) Rs. 5000 (b) Rs. 5200
13. The simple interest and compound interest (c) Rs. 5280 (d) Rs. 5400
(compounded annually) on a certain sum 18. The compound interest on a certain sum of
of money with a given rate for a period of 2 money at 5% per annum for 2 years is Rs.
years are Rs. 900 and Rs.954 respectively. 246. The simple interest on the same sum
The sum of money is for 3 years at 6% per annum is

(a) Rs. 3700 (b) Rs. 3650

(c) Rs. 7500 (d) Rs. 3750 (a) Rs. 435 (b) Rs. 450
14. In what time Rs. 8000 will amount to Rs. (c) Rs. 430 (d) Rs. 432
9216 at 10% per annum compound
19. In what time will Rs. 10000 amount to Rs.
interest, when the interest is compounded
13310 at 20% per annum compounded half
half yearly?
yearly?

1 1
(a) 3 years / 3 1 1
2 2 (a) 1 years / 1
2 2
1 1 (b) 2 years / 2
(b) 1 years / 1
2 2
1 1
(d) 1 years / 1
1 1 3 3
(c) 2 years / 2
2 2 (d) 3 years / 3
(d) 2 years / 2 20. At a certain rate per annum, the simple
15. A certain sum, invested at 4% per annum interest on a sum of money for one year is
compound interest, compounded half - Rs. 260 and the compound interest on the
yearly, amounts to Rs. 7803 at the end of same sum for two years is Rs. 540.80. The
one year. The sum is rate of interest per annum is

(a) Rs. 7000 (b) Rs. 7200 (a) 4% (b) 6%

(c) Rs. 7500 (d) Rs. 7700 (c) 8% (d) 10%
21. A certain sum of money yields Rs. 1261 as compounded annually, is Rs. 28. If the
compound interest for 3 years at 5% per interest were compounded helf yearly, the
annum. The sum is difference in the two interests will be

(a) Rs. 9000 (b) Rs. 8400

(c) Rs. 7500 (d) Rs. 8000 (a) Rs. 44 (b) Rs. 28.35
22. The simple interest on a sum of monye at (c) Rs. 43.41 (d) Rs. 43.29
4% per annum for 2 years is Rs. 80. The 27. A sum of Rs. 6000 is deposited for 3 years
compound interest in the same sum for the at 5% per annum compound interest
same period is (compounded annually). The difference of
interest for 3 and 2 years will be

(a) Rs. 82.60 (b) Rs. 82.20

(c) Rs. 81.80 (d) Rs. 81.60 (a) Rs. 75.00 (b) Rs. 30.75
23. A sum of money amounts to Rs. 4840 in 2 (c) Rs. 330.75 (d) Rs. 375.00
years and to Rs. 5324 in 3 years at 28. The compoud interest on Rs. 2000 in 2
compound interest compound annually. years if the rate of interest is 4% per annum
The rate of interest per annum is for the first year and 3% per annum for the
second year, will be

(a) 10% (b) 9%

(c) 11% (d) 8% (a) Rs. 142.40 /
24. A certain sum of money doubles itself in 4
(b) Rs. 140.40 /
years at some rate of compound interest,
compounded annually. At the same rate, it (c) Rs. 141.40 /
will amount to eight times of itself in (d) Rs. 143.40 /
29. At what rate of per annum will Rs. 32000
yield a compound interest of Rs. 5044 in 9
months interest being compounded
quarterly?
(a) 10 years / 10
(b) 12 years / 12
(c) 14 years / 14
(d) 16 years / 16 (a) 20% (b) 32%
25. The difference between compound interest (c) 50% (d) 80%
( compound annully) and simple interest on 30. Compound interest of a sum of money for
a certain sum of money at 10% per annum 2 years at 4 per cent per annum is Rs.
for 2 years is Rs. 40. The sum is 2448. Simple interest of the same sum of
money at the same rate of interest for 2
years will be

(a) Rs. 4000 (b) Rs. 3600

(c) Rs. 4200 (d) Rs. 3200
26. The difference between the compound and (a) Rs. 2500 (b) Rs. 2400
the simple interest on a sum for 2 years at (c) Rs. 2360 (d) Rs. 2250
10% per annum, when the interest is 31. The difference between compound interest
 and simple interest of a sum for 2 years at (a) Rs. 1225 (b) Rs. 1270
8 per cent is Rs. 768. The sum is (c) Rs. 1245 (c) Rs. 1250
37. The time, in which Rs, 2000 will amount of
Rs. 2420 at 10% per annum compound
interest, when the interest is compounded
annually is
(a) Rs. 100000 (b) Rs. 110000
(c) Rs. 120000 (d) Rs. 170000
32. The compound interest on Rs. 16000 for 9
months at 20% per annum, if interest being
compounded quarterly, is (a) 5 years / 5 (b) 2 years / 2
(c) 3 years / 3 (d) 4 years /4
38. The difference between the simple and
compound interest and certain sum of
money for 2 years at 4% per annum is Rs.
(a) Rs. 2520 (b) Rs. 2524
4. The sum is
(c) Rs. 2522 (d) Rs. 2518
33. If the difference between the compound and
simple interests on a certain sum of money
for 3 years at 5% per annum is Rs. 15.25,
then the sum is
(a) Rs. 2500 (b) Rs. 2400
(c) Rs. 2600 (d) Rs. 2000
39. A sum of money placed at compound
interest doubles itself in 5 years. In how
many years, it would amount to eitght times
(a) Rs. 2000 (b) Rs. 1000
of itself at the same rate of interest?
(c) Rs. 1500 (d) Rs. 2500
34. If the rate of interest be 4% per annum for
first year, 5% per annum for second year
and 6% per annum for third year, then the
compound interest of Rs. 10000 for 3 years
will be (a) 10 years / 10
(b) 15 years / 15
(c) 7 years / 7
(d) 20 years / 20
(a) Rs. 1600 (b) Rs. 1625.8 40. The effective annual rate of interest,
(c) Rs. 1575.20 (d) Rs. 2000 corresponding to a nominal rate of 6% per
annum payble half yearly, is
35. A person deposited a sum of Rs. 6000 in a
bank at 5% per annum simple interest.
Another person deposited Rs. 5000 at 8%
per annum compound interest. After two
(a) 6.06% (b) 6.07%
years, the difference of their interests will
be (c) 6.08% (d) 6.09%
41. A sum of money becomes Rs. 4500 after
two years and Rs. 6750 after 4 years on
compound interest. The sum is :

(a) Rs. 230 (b) Rs. 232 (a) Rs. 4000 (b) Rs. 2500
(c) Rs. 832 (d) Rs.600 (c) Rs. 3000 (d) Rs. 3050
36. A sum becomes Rs. 1352 in 2 years at 4% 42. At what rate per cent per annum will Rs.
per annum compound interest.The sum is 2304 amount to Rs. 2500 in 2 years at
compound interest?
 48. An amount after 2 years at fixed C.I rate
1
1 1 becomes 2 times. Then what is the C.I.
(a) 4 % (b) 4 % 4
2 5 annual rate?

1 1
(c) 4 % (d) 4 %
6 3 2
1
43- The difference between simple and 4
copound interest on a certain sum of money
for 2 years at 4 per cent per annum is Rs.
(a) 50% (b) 55%
1. The sum of money is:
(c) 47% (d) 5%
49. An amount after 3 years at C.I annual rate
becomes 8 times. Then what is the C.I
annual rate?
(a) Rs. 600 (b) Rs. 625
(c) Rs. 560 (d) Rs. 650
44. A sum of money invested at compoud (a) 90% (b) 85%
interest doubles itself in 6 years. At the (c) 100% (d) 50%
same rate of interest it will amount to eight
50. Rs. 8000 after 2 years at C.I. annual rate
times of itself in
becomes Rs. 8820, then what is the C.I.
annual rate?

(a) 15 years / 15 (a) 0% (b) 41%

(b) 12 years / 12 (c) 5% (d) 4%
(c) 18 years / 18 51. An amount at C.I. annual rate after 1 years
becomes Rs. 650 and that same amount at
(d) 10 years / 10 the same rate after 2 years becomes Rs.
45. The C.I. of an amount of 2 years is Rs. 328 676, then what is the annual C.I. rate and
and S.I is Rs. 320 then what is the annual principal amount?
rate of interest?

(a) 3% (b) 4% (a) 5 2 5 (b) 6 2 5

(c) 5% (d) 6% (c) 2 5 6 (d) 2 5 5
46. The C.I of an amount of first years is Rs. 52. On an amount, at 4% rate annually, the
240 and the rate of interest of C.I is 20%, difference between S.I. and C.I. is Rs.760/-
then what will be the C.I of second year? , then what is the principal amount, if the
time is 3 years?

(a) 2 8 5 (b) 280

(c) 820 (d) 2 8 8 (a) 156050 (b) 156250
47. The C.I. of an amount at 10% C.I rate (c) 156100 (d) 186250
annually, the second year C.I is Rs. 1320, 53. Rs.10000 at 20% C.I rate becomes Rs.
then what is the principal amount? 13310. If to repay the interest, condition is
half yearly, how many years will it take?

(a) 10000 (b) 12000

(c) 12500 (d) 13000
 Rs. 8000 for 3 yrs at 2.5% p.a.
1 1
(a) 1 years / 1
2 2
(CI) (SI)
(b) 2 years / 2
(c) 1 years / 1
(a) 11.50 (b) 13.00
1 1 (c) 15.25 (d) None of these
(d) 2 years / 2
2 2 60. The compound interest on a certain sum of
54. Rs. 11000 at 20% C.I. rate annually is money for 2 years at 10% per annum is Rs.
lended in such a way, that, it should be 420. Find the simple interest at the same
repaid in 2 equal annual installments. Then rate and for the same time.
what will be the each annual installment?

(a) 400 (b) 800

(c) 350 (d) 700
(a) 7000 (b) 7200 61. If the simple interest on a certain sum of
(c) 7500 (d) 7300 money for 3 yrs at 5% is Rs. 150, find the
corresponding CI.
55. At 4% annual C.I. rate, after 2 years, what
will be the current price of Rs.169?

(a) 156 (b) 1 5 5 (a) 157.62 (b) 142.32

(c) 150 (d) 1 4 5 (c) 161.11 (d) 1 7 1
62. A certain amount of money at compound
1 1
56. Rs. 40960 at 6 % rate after 2 years, what interest grows upto Rs. 51168 in 15 yrs and
4 5 upto Rs. 51701 in 16 yrs. Find the rate per
will be the total amount? cent per annum.
1 1
6 2
4 5

(a) 46718 (b) 45818

3 1
(c) 46815 (d) 46818 (a) 1 % (b) 1 %
4 24
57. The compound interest on a certain sum
for 2 yrs is Rs. 40.80 and simple interest is 1 2
(c) 1 % (d) 1 %
Rs. 40. Find the sum. 8 21
63. Find the compound interest on Rs. 10000
for 3 years if the rate of interest is 4% for
the first year, 5% for the second year and
(a) 300 (b) 400 6% for the third year.
(c) 200 (d) 500
58. The difference between the compound
interest and the simple interest on a certain
sum of money at 5% per annum for 2 years
is Rs. 1.50. Find the sum. (a) 1575.2 (b) 1364.5
(c) 1162.3
(d) None of these /
64. Geeta deposits Rs. 20,000 in a private
(a) 150 (b) 600 company at the rate of 16% compounded
yearly; wheras Meera deposits an equal
(c) 350 (d) 500
sum in PNB Housng Finance Ltd at the rate
59. Find the difference between CI and SI on
 of 15% compounded half-yearly. If both
1 A
deposit their money for 1 years only,
2 (a) 5160 (b) 6134
calculate which deposit earns better (c) 4461 (d) 5720
interest. 68. If a certain sum, at compound interest
becomes double in 5 yr, then in how many
years, it will be 16 times at the same rate of
interest?
PNB Housing Finance Ltd.

1
1
2
(a) 20 year (b) 25 year
(c) 30 year (d) 35 year
(a) Meera get better interest 69. A sum of money invested at compound
interest amounts to Rs. 800 in 2 yr and Rs.
(b) Both get equal interest 840 in 3 yr. Find the rate of interest pa.

(c) Geeta get better interest

(d) Can't be determined (a) 5% (b) 5.50%

(c) 6% (d) 6.50%
70. What total amount will Rani get in 2 yr, if
65. A sum of money is lent out at compound
she invests Rs. 5000 to obtain compound
interest rate of 20% per annum for 2 years.
interest at the rate of 5 pcpa?
It would fetch Rs. 482 more if interest is
compounded half-yearly. Find the sum.

(half-yearly) (a) Rs. 5511.50 (b) Rs. 5312.50

(c) Rs. 5542.50 (d) Rs. 5512.50
(a) 4,000 (b) 8,000 71. What amount will be received on a sum of
(c) 20,000 (d) 24,000 1
Rs. 1750 in 2
yr, if the interest is
66. The population of a city increases at the 2
rate of 5% pa. If the present population of compound at the rate of 8% pa?
the city is 370440. What was its population
3 yr ago?
1
2
2
(a) RS. 2125 (b) Rs. 2122.85
(c) Rs. 2100 (d) Rs. 2200
(a) 1,10,000 (b) 3,20,000
72. What amount will be received on a sum of
(c) 2,72,000 (d) 4,25,000
67. The population of a particular area 'A' of a 1
Rs. 15000 in 1 yr at 12% pa, if interest is
city is 5000. It increases by 10% in 1st year. 4
It decreases by 20% in the 2nd year because compounded quarterly?
of some reason. In the 3rd year, the
population increased by 30%. What will be 1
1
the population of area 'A' at the end of 3 4
yr?
A
(a) Rs. 16596.88 (b) Rs. 16789.08
 (c) Rs. 17630.77 (d) Rs. 17389.12
1
73. The compounded interest is Rs. 6.40 more 78. The height of a tree increases every year
8
than the simple interest, if a sum is lent for
2 yr at 8% compounded interest. Find the times. If the present height of the tree is 64
sum. cm, what will be its height after 2 yr?

1
8

(a) Rs. 1800 (b) Rs. 10000

(c) Rs. 800 (d) Rs. 1000 (a) 76 cm (b) 80 cm
74. The population of a country is 10 crore and (c) 81 cm (d) 84 cm
it is the possibility that the population will 79. A man borrows Rs. 5100 to be paid back
become 13.31 crore in 3 yr. What will be with compound interest at the rate of 4%
the the annual rate percent on this growth? pa by the end of 2 yr in two equal yearly
instalments. How much will each instalment
be ?

(a) 8% (b) 12.7%

(c) 10% (d) 15%
75. A sum, at the compound rate of interest, (a) Rs. 2704 (b) Rs. 2800
(c) Rs. 3000 (d) Rs. 2500
1
becomes 2 times in 6 yr. The same sum 80. Divide Rs. 2602 between X and Y so that
2
time amount of X after 7 yr is equal to the
becomes what times in 18 yr. the amount of Y after 8 yr, the interest being
1 compounded at 4% pa.
2
2 X Y
X Y

(a) Rs. 1352, Rs. 1250

5 25
(a) (b) (b) Rs. 1400, Rs 1350
2 4
(c) Rs. 1415, Rs. 1300
125 625 (d) Rs. 1500, R. 1450
(c) (d)
8 16 81. If Rs. 3000 amounts to Rs. 4320 at
76. At what percent annual compound interest compound interest in a certain time, then
Rs. 3000 amounts to what in half of the
rate, a certain sum amounts to its 27 times
time?
in 3 yr?

(a) 100% (b) 150%

(c) 75% (d) 200% (a) Rs. 3400 (b) Rs. 3600
77. The simple interest on a certain sum for 2 (c) Rs. 3800 (d) Rs. 3520
yr is Rs. 120 and compound interest is Rs. 82. A sum of money lent at compound interest
129. Find the rate of interest. for 2 yr at 20% pa would fetch Rs. 964 more,
if the interest was payable half yearly than
if it was payable annually. What is the sum?

(a) 14% (b) 15%

1
(c) 12% (d) 12 %
2 (a) Rs. 40000 (b) Rs. 60000
 (c) Rs. 90000 (d) Rs. 50000 87. An amount at 20% C.I rate after 1½ year
83. The simple interest on a certain sum of becomes Rs. 26620/-, if the interest is to be
money for 3 yr at 8% pa is half the paid half yearly, then what is the principal
compounded interest on Rs. 8000 for 2 yr amount?
at 10% pa. Find the sum placed on simple
interest.

(a) 15000 (b) 18000

(c) 19000 (d) 20000
88. An amount after 6 years at a fixed C.I rate
(a) Rs. 3500 (b) Rs. 3800 becomes 4 times. Then calculate in how
(c) Rs. 4000 (d) Rs. 3600 many years at the same CI rate will the
amount becomes 32 times?
84. An amount at 20% C.I. rate after 3 years
becomes Rs. 43200/-. Then what is the
principal amount?

(a) 1 5 (b) 1 4
(a) 25000 (b) 50000 (c) 1 6 (d) 1 7
(c) 40000 (d) 20000 89. Rs. 16000, at C.I rate in 5 years becomes 3
85. The C.I. of an amount at 5% C.I. rate times, then in 15 years, how much will that
annually after 2 years is Rs. 2050/-. Then money become?
what is the principal amount?

(a) 400000 (b) 432000

(a) 15000 (b) 20000 (c) 420000 (d) 445000
(c) 25000 (d) 22000 90. On an amount after 2 years at 12½ % rate,
86. The total amount on Rs.32000/-, at 25% C.I the difference between C.I. and S.I. is Rs.
rate after 3years, what will it be? 750/-, then what is the principal amount?

(a) 62000 (b) 61000

(c) 62500 (d) 62000 (a) 45000 (b) 40000
(c) 50000 (d) 48000

ANSWER
1. (b) 2. (d) 3. (a) 4. (b) 5. (d) 6. (a)
7. (a) 8. (a) 9. (b) 10. (c) 11. (d) 12. (c)
13. (c) 14. (b) 15. (c) 16. (b) 17. (a) 18. (d)
19. (a) 20. (c) 21. (d) 22. (d) 23. (a) 24. (b)
25. (a) 26. (c) 27. (c) 28. (c) 29. (a) 30. (b)
31. (c) 32. (c) 33. (a) 34. (c) 35. (b) 36. (d)
37. (b) 38. (a) 39. (b) 40. (d) 41. (c) 42. (c)
43. (b) 44. (c) 45. (c) 46. (d) 47. (b) 48. (a)
49. (c) 50. (c) 51. (b) 52. (b) 53. (c) 54. (d)
55. (d) 56. (d) 57. (d) 58. (b) 59. (c) 60. (a)
61. (a) 62. (b) 63. (a) 64. (c) 65. (c) 66. (b)
67. (d) 68. (a) 69. (a) 70. (d) 71. (b) 72. (d)
73. (d) 74. (c) 75. (c) 76. (b) 77. (b) 78. (c)
79. (a) 80. (a) 81. (b) 82. (a) 83. (a) 84. (a)
85. (b) 86. (c) 87. (d) 88. (a) 89. (b) 90. (d)