Quantitative Aptitude: Simple and Compound Interest

Simple Interest and Compound Interest

Model 1: Simple Interest
1. Simple interest on an amount after 24 months at the rate of 2% per quarter is ` 960. What is
the amount?
1) ` 2000

2) ` 5750

3) ` 6000

4) ` 4800

5) None of these

2. The simple interest obtained on a certain amount at 7.5% p.a. for two years is ` 232.50. What
is the amount invested?
1) ` 2000

2) ` 1575

3) ` 1659

4) ` 1600

5) None of these

3. What will be the simple interest on ` 10000 after 3 years at the rate of 5% per quarter?
1) ` 3000

2) ` 6000

4) Cannot be determined

5) None of these

3) ` 5000

4. Karan took a loan on simple interest at the rate of 12% per year, after 8 months he paid
` 8100. How much loan was taken by Karan?

[February 28, 2015 @ 1h 56m 17s]

1) ` 7500

4) ` 7000

2) ` 8000

3) ` 6,500

5) None of these

5. An amount becomes ` 8,800 in four years at 15% p.a. What is that amount?
1) ` 5,500

2) ` 7,500

3) ` 5,800

4) ` 6,400

5) None of these

6. ` 850 are invested for 3 years at the rate of 17.5 % per year on simple interest. What will be a
total amount at the end of 3 years?
1) ` 1,147.50

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2) ` 998.15

3) ` 1,296.25

4) ` 1, 295, 50 5) None of these

Quantitative Aptitude: Simple and Compound Interest

7. Shilpa took a loan of ` 800 at the rate of 11% per year for 7 months. How much does she
need to pay at the end of 7 months?
1) ` 851

2) ` 852

3) ` 950

4) ` 951

5) None of these

8. Mehra invests an amount of ` 18000 to obtain a simple interest at the rate of 15% p.a. for
6 years. What total amount will Mehra get at the end of 6 years?
1) ` 33,500

2) ` 35,000

3) ` 34,000

4) ` 34,200

5) None of these

9. Vijay borrowed some money from Vishnu at simple interest of 8% per eight months. If after
4 years, Vishnu got ` 2664 as principal and interest, how much did Vijay borrow from
Vishnu?

[September 12, 2014 @ 1h 56m 17s]

1) ` 2018

2) ` 2000

4) Cannot be determined

5) None of these

3) ` 1800

10. An amount doubles itself at the end of 8 years with a certain rate of simple interest. What
will be the total simple interest on ` 8000 at that rate at the end of four years?
[September 12, 2014 @ 1h 58m 17s]
1) ` 4000

2) ` 2000

4) Data Inadequate

5) None of these

3) ` 8000

Model 2: Compound Interest

11. What will be the compound interest on ` 5000 for 2 years at 12% per annum?
1) ` 1250

2) ` 1200

3) ` 1272

4) ` 2174

5) None of these

12. What will be the compound interest on ` 5000 for 2 years at 7% per annum?
1) ` 725

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2) ` 700

3) ` 724.50

4) ` 714.50

5) None of these

Quantitative Aptitude: Simple and Compound Interest

13. The compound interest on a certain amount for 2 years at the rate of 5% is ` 102.5. Find the
amount.
1) ` 500

2) ` 725

3) ` 850

4) ` 1000

5) None of these

14. Manish deposited some money in a bank at the rate of 6% p.a. for 2 years at Compound
interest. How much money was deposited if he gets ` 11236 on maturity?
1) ` 15000

2) ` 14000

3) ` 10000

4) ` 16000

5) None of these

15. If the annual increase in the population of a town is 4% and the present population is 16224,
what was the population two years ago?

[July 12, 2014 @ 1h 17m 10s]

1) 15000

4) 16000

2) 14000

3) 15500

5) None of these

16. Brijesh borrowed a sum of ` 2000 at 2% per month simple interest on a yearly basis. It was
decided that if the sum would not be returned at the end of the year interest would be
charged on the fixed interest. If the sum was returned after two years then how much did
Brijesh pay?

[July 12, 2014 @ 33m 40s]

1) ` 3,600

2) ` 3,844

3) ` 3,700

4) ` 3,100

5) None of these

17. The compound interest on ` 800 at a certain rate for two years is ` 65.28. What would be the
approximate compound interest on the same amount for three years?
[July 12, 2014 @ 21m 15s]
1) ` 100

2) ` 85

4) Cannot be determined

5) None of these

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3) ` 90

Quantitative Aptitude: Simple and Compound Interest

Model 3: Varying Rates of Interest

18. If ` 20000 is given as loan for a period of 3 years with interest rates 5%, 7% and 9% for the 1 st,
2nd and 3rd years respectively, what is the total amount that needs to be paid in the end?
1) ` 23500

2) ` 24200

3) ` 18000

4) ` 24000

5) None of these

19. If ` 10000 is given as loan for a period of 3 years with interest rates 6%, 8% and 10% for the
1st, 2nd and 3rd years, what is the total amount that needs to be paid in the end?
1) ` 13000

2) ` 15000

3) ` 18000

4) ` 12400

5) None of these

20. Nitin borrowed some money at the rate of 6% p.a. for the first three years, 9% p.a. for the
next 5 years and 13% p.a. for the period beyond eight years. If the total interest paid by him
at the end of 11 years is ` 8160, how much money did he borrow?
[June 20, 2015 @ 1h 44m 40s]
1) ` 8000

2) ` 10000

3) ` 12000

4) ` 6000

5) None of these

21. An amount of ` 10000 is taken as a loan by Vivek at compound interest charging 5 pcpa for
1st year, 10 pcpa for the 2nd year and 20 pcpa for the 3rd year. What is the total interest to be
paid by Vivek after 3 years?
1) ` 3860

2) ` 4380

3) ` 2140

4) ` 1780

5) None of these

22. An amount of ` 10000 is taken as a loan by Karthik at compound interest charging 8% p.a.
for 1st year and 9% p.a. for the 2nd year. How much is the total to be paid by Karthik after 2
years?
1) ` 16000

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2) ` 14000

3) ` 12000

4) ` 11772

5) None of these

Quantitative Aptitude: Simple and Compound Interest

Model 4: Difference between CI and SI

23. Find the difference between the simple and compound interest at 5% pa for 2 years on a
principal of ` 2000
1) ` 5

2) ` 50

3) ` 10

4) ` 25

5) None of these

24. In two years, at the rate of 5% p.a., the difference of compound and simple interest is ` 25.
What is the principal?
1) ` 11,000

2) ` 10,050

3) ` 10,500

4) ` 10,000

5) None of these

25. If the difference between the simple interest and compound interest on some amount at 20%
pa for 3 years is ` 48, then what must be the principal amount?
1) ` 240

2) ` 375

3) ` 480

4) ` 180

5) None of these

26. The difference between C.I. & S.I. on a sum of money for 3 years at 5% is ` 133 . What is
16

the sum? [August 08, 2015 @ 54m 30s]

1) ` 16000

2) ` 17500

3) ` 17000

4) ` 18000

5) None of these

Model 5: Principal/Rate of Interest with Respect to Total Amount for Two Different
Periods
27. On simple interest, a sum of money becomes ` 1120 in 4 years and ` 1360 in 7 years. How
much money is deposited?
1) ` 900

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2) ` 700

3) ` 800

4) ` 1200

5) None of these

Quantitative Aptitude: Simple and Compound Interest

28. On simple interest, a sum of money becomes ` 1,102.5 in three years and ` 1,237.5 in 5 years.
How much money is deposited?
1) ` 900

2) ` 700

3) ` 1100

4) ` 1200

5) None of these

29. A sum of money invested at compound interest amounts to ` 800 in 3 years and ` 882 in 5
years. What is the rate of interest?
1) 2.5%

2) 4%

3) 5%

4) 6.66%

5) None of these

30. A sum of money invested at compound interest amounts to ` 800 in 3 years and to ` 840 in 4
years. What is the rate of interest per annum?
1) 2.5%

2) 4%

3) 5%

4) 6.66%

5) None of these

Model 6: Principal Based on CI in 1st and 2nd Year

31. On a particular amount, the compound interest at the end of one year is ` 40 and in the 2nd
year is ` 42. How much money was deposited?
1) ` 850

2) ` 900

4) Cannot be determined

5) None of these

3) ` 800

32. On a given amount the compound interest at the end of the first year was ` 88 and the
second year was ` 96.80. How much money was invested?
1) ` 880

2) ` 996

4) Cannot be determined

5) None of these

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3) ` 800

Quantitative Aptitude: Simple and Compound Interest

Model 7: Half - yearly Compounding

33. A sum of ` 40000 is invested for 18 months at 20% p.a. on compound interest. If the interest
is compounded half yearly, what will be the interest to be paid?
1) ` 13530

2) ` 13080

3) ` 13540

4) ` 13240

5) None of these

34. A sum of ` 30000 is invested for 18 months at 12% p.a. on compound interest. If the interest
is compounded half yearly, how much does it become on maturity?
1) ` 35730.48

2) ` 30800

3) ` 35400.60 4) ` 38400.60 5) None of these

Model 8: Compound Interest for a Time Period in Non-integer Years

35. An amount of ` 10000 was deposited in a bank for a period of 27 months at the rate of 20%
pa on compound interest. What will be the amount received on maturity?
1) ` 15120

2) ` 12400

3) ` 14260

4) ` 12500

5) None of these

36. Amit has given a loan to Sumit an amount of ` 20000 at an interest rate 8 % p.a. for a period
of 30 months. If interest charged is at compound interest, how much does Sumit need to pay
in the end?
1) ` 23000

2) ` 24000.36 3) ` 24261.12 4) ` 25020.54 5) None of these

Model 9: Difference between CI and SI for Different Rates of Interest

37. What is the difference between compound interest and simple interest for the sum of
` 20000 over a 2 year period, if the compound interest is calculated at 20% p.a. and simple
interest is calculated at 23% p.a.?
1) ` 200

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2) ` 125

3) ` 250

4) ` 400

5) None of these

Quantitative Aptitude: Simple and Compound Interest

38. Varun borrows ` 1500 from two money lenders. He pays interest at the rate of 12% per
annum for one loan and at the rate of 14% pa for the other. How much does he borrow at
12% pa if the total interest paid at the end of the year is ` 186?
1) ` 1200

2) ` 1125

3) ` 1250

4) ` 1800

5) None of these

39. The simple interest on a sum of money will be ` 300 after 5 years. In the next 5 years if the
principal is trebled, then what will be the total interest at the end of the 10 th year?
1) ` 1200

2) ` 1125

3) ` 1250

4) ` 1800

5) None of these

40. ` 800 becomes ` 956 in 3 years at a certain rate of simple interest. If the rate of interest is
increased by 4%, what amount will ` 800 become in 3 years?
1) ` 1020.80

2) ` 1025

3) ` 1052

4) Data inadequate

5) None of these

Answers
1-3

2-5

3-2

4-1

5-1

6-3

7-1

8-4

9-3

10 - 1

11 - 3

12 - 3

13 - 4

14 - 3

15 - 1

16 - 5

17 - 1

18 - 2

19 - 4

20 - 1

21 - 1

22 - 4

23 - 1

24 - 4

25 - 2

26 - 2

27 - 3

28 - 1

29 - 3

30 - 3

31 - 3

32 - 1

33 - 4

34 - 1

35 - 1

36 - 3

37 - 4

38 - 1

39 - 1

40 - 3

Note: The date and time mentioned against some questions refer to the doubts clarification
session on Quantitative Aptitude in which the question was solved.

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Quantitative Aptitude: Simple and Compound Interest

Practice Questions

1. A person takes a loan of ` 10,000 partly from a bank at 8% p.a. and remaining from another
bank at 10% p.a. He pays a total interest of ` 950 per annum. Amount of loan taken from the
first bank (in `) is_
a) 2500

b) 5200

c) 2050

d) 5020

2. If the compound interest on a certain sum for two year at 12% per annum is ` 2,544, the
simple interest on it at the same time for 2 years will be
a) ` 2,400

b) ` 2,500

c) ` 2,480

d) ` 2,440

3. ` 800 becomes ` 956 in 3 years at a certain rate of simple interest. If the rate of interest is
increased by 4%, what amounts will ` 800 becomes in 3 years?
a) ` 1020.80

b) ` 1025

c) ` 1052

d) ` 1050

4. If the difference between SI and CI for 2 years on a sum of money lent at 5% is `6, then the
sum is
a) ` 2200

b) ` 2400

c) ` 2600

d) ` 2000

5. The simple interest on a sum for 5 years is one-fourth of the sum. The rate of interest per
annum is
a) 5%

b) 6%

c) 4%

d) 8%

6. The difference between the compound interest and simple interest on ` 10,000 for 2 years is
` 25. The rate of interest per annum is
a) 5%

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b) 7%

c) 10%

d) 12%

Quantitative Aptitude: Simple and Compound Interest

7. A sum of money placed at compound interest doubles itself in 4 years. In how many years
will it amount to four times itself?
a) 12 years

b) 13 years

c) 8 years

d) 16 years

8. A sum of ` 12,000 deposited at compound interest become double after 5 years. After 20
years, it will become
a) ` 48,000

b) ` 96,000

c) ` 1,90,000

d) ` 1,92,000

9. Simple interest on a certain sum for 6 years is 9/25 of the sum. The rate of interest is
a) 6%

b) 6 1/2%

c) 8%

d) 8 1/2%

10. The difference between the compound interest and simple interest for the amount ` 5,000 in
2 years is ` 32. The rate of interest is
a) 5%

b) 8%

c) 10%

d) 12%

11. The simple interest on a sum of money is 1/9 of the principle and the number of years is
equal to rate per cent per annum. The rate per annum is
a) 3%

b) 1/3%

c) 3 1/3%

d) 3 1/0%

12. The difference between simple interest and compound interest of a certain sum of money at
20% per annum for 2 years is ` 48. Then the sum is
a) ` 1,000

b) ` 1,200

c) ` 1,500

d) ` 2,000

13. At what rate per cent per annum will a sum of ` 1,000 amount to ` 1,102.50 in 2 years at
compound interest?
a) 5

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b) 5.5

c) 6

d) 6.5

10

Quantitative Aptitude: Simple and Compound Interest

Answers
1-a

2-a

3-c

11 - c

12 - b

13 - a

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4-b

5-a

6-a

7-c

8-d

9-a

10 - b

11