Simple Interest Questions

FACTS  AND  FORMULAE  FOR  SIMPLE  INTEREST  QUESTIONS

 

 

1. Principal: The money borrowed or lent out for a certain period is called the principal or the sum.

 

2. Interest: Extra money paid for using other's money is called interest

 

3. Simple Interest (S.I.) : If the interest on a sum borrowed for a certain period is reckoned uniformly, then it is called simple interest.

Let Principal = P, Rate = R% per annum (p.a.) and Time = T years. Then,

(i)  S.I=P×T×R100

(ii)  P=100×S.IR×T ; R=100×S.IP×T and T=100×S.IP×R

Q:

A sum becomes Rs 10000 in 10 years on simple interest at the rate of 10% per annum. What is the total interest (in Rs) of the 10 years?

A) 4000 B) 5000
C) 2500 D) 4500
 
Answer & Explanation Answer: B) 5000

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2 1571
Q:

If the time increases by 7 years, then simple interest increases by Rs 8400 on a sum of Rs 6000. What is the rate (in percentage) of interest per annum?

A) 18 B) 12
C) 20 D) 24
 
Answer & Explanation Answer: C) 20

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3 1569
Q:

A certain sum of money becomes 4 times of itself in 30 years at a rate of simple interest. In how many years it will become double of itself at the same rate of simple interest?

A) 20 B) 15
C) 10 D) 12
 
Answer & Explanation Answer: C) 10

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3 1563
Q:

Simple interest on a certain sum of money for 3 years at 10% per annum is half the compound interest on Rs 6000 for 2 years at 10% per annum. The sum placed on simple interest is

A) Rs 4200 B) Rs 2100
C) Rs 1680 D) Rs 1050
 
Answer & Explanation Answer: B) Rs 2100

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2 1548
Q:

There is 40% increase in an amount in 10 years at simple interest. What will be the compound interest of Rs. 30000 after 3 years at the same rate?

A) Rs 3745.92 B) Rs 7491.84
C) Rs 9364.8 D) Rs 5618.88
 
Answer & Explanation Answer: A) Rs 3745.92

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0 1542
Q:

In simple interest rate per annum a certain sum amounts to Rs. 5,182 in 2 years and Rs. 5,832 in 3 years. The principal in rupees is

A) Rs. 2882 B) Rs. 5000
C) Rs. 3882 D) Rs. 4000
 
Answer & Explanation Answer: C) Rs. 3882

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0 1530
Q:

A sum of money becomes 77/50 of itself in 18/5 years when invested at simple interest. What is the rate (in percentage) of interest per annum?

A) 20 B) 18
C) 12 D) 15
 
Answer & Explanation Answer: D) 15

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3 1522
Q:

A sum becomes Rs 8800 in 4 years at simple interest at the yearly interest rate of 25% per annum. What is the sum (in Rs)?

 

A) 4400 B) 6600
C) 7040 D) 6400
 
Answer & Explanation Answer: A) 4400

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0 1514