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Q:

What is the rate of interest p.c.p.a.?

I. An amount doubles itself in 5 years on simple interest.

II. Difference between the compound interest and the simple interest earned on a certain amount in 2 years is Rs. 400.

III. Simple interest earned per annum is Rs. 2000

A) I only B) II and III only
C) All I, II and III D) I only or II and III only

Answer:   D) I only or II and III only



Explanation:

I.P*R*5100=P⇔R=20

 II.P1+R1002-P-P*R*2100=400=>pR2=4000000

 III.P*R*1100=2000=>PR=200000

 PR2PR=4000000200000⇔R=20

 

Thus I only or (II and III) give answer.

 

 Correct answer is (D)

Subject: Compound Interest
Exam Prep: Bank Exams
Job Role: Bank PO
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The effective annual rate of interest corresponding to nominal rate of 6% per annum payable half yearly is

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Answer & Explanation Answer: D) 6.09%

Explanation:

amount=[100(1+3/100)^2]=Rs.106.09

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A sum of money lent at compound interest for 2 years at 20% per annum would fetch Rs.482 more, if the interest was payable half yearly than if it was payable annually . The sum is

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Explanation:

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=> x=20000

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Josh borrowed $250 from his mother to buy an electric scooter. Josh will pay her back in 1 year with 3% simple annual interest. How much interest will Josh pay?

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At first glance it might seem that this problem cannot be solved because we do not have enough
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