Question : If the rate of interest is 4% for the first year, 5% for the second year and 6% for the third year, then find the compound interest on Rs. 10,000 for 3 years, if interest is compounded annually.
Option 1: Rs. 1,580.25
Option 2: Rs. 1,575.20
Option 3: Rs. 1,500.00
Option 4: Rs. 1,570.50
New: SSC MTS Tier 1 Answer key 2024 out
Don't Miss: Month-wise Current Affairs | Upcoming Government Exams
New: Unlock 10% OFF on PTE Academic. Use Code: 'C360SPL10'
Correct Answer: Rs. 1,575.20
Solution : The formula for compound interest (CI) when the rate of interest is different for different years is, CI = P × (1 + R1) × (1 + R2) × (1 + R3) – P where P is the principal amount, R1 is the rate of interest for the first year, R2 is the rate of interest for the second year and R3 is the rate of interest for the third year. So, the compound interest is: CI = 10000 × (1 + 0.04) × (1 + 0.05) × (1 + 0.06) – 10000 = 10000 × (1.04) × (1.05) × (1.06) – 10000 = 11575.20 – 10000 = Rs. 1575.20 Hence, the correct answer is Rs. 1575.20.
Application | Cutoff | Selection Process | Preparation Tips | Eligibility | Exam Pattern | Admit Card
Question : Rs. 30,000 is lent at compound interest (compounded annually) for 3 years. If the rate of interest is 10% for the first year, 20% for the second year, and 30% for the third year, then what will be the total compound interest?
Option 1: Rs. 21,480
Option 2: Rs. 19,270
Option 3: Rs. 20,560
Option 4: Rs. 22,580
Question : What is the difference between the compound interest and the simple interest on Rs. 2,000 at 10% interest per annum for 2 years, if, for compound interest, interest is compounded annually?
Option 1: Rs. 20
Option 2: Rs. 40
Option 3: Rs. 80
Option 4: Rs. 60
Question : Find the sum of money invested by a man in a scheme that offers compound interest(compounding annually) at a 6% rate of interest per annum if compound interest for 2 years is Rs. 618.
Option 1: Rs. 7000
Option 2: Rs. 9000
Option 3: Rs. 5000
Option 4: Rs. 4000
Question : On a certain sum, the interest is compounded annually. If the compound interest for the second year is INR 400 and the compound interest for the fourth year is 576, then what is the rate of interest per annum?
Option 1: 20%
Option 2: 25%
Option 3: 15%
Option 4: 44%
Question : Rs. 6000 is lent at the rate of 8% per annum on compound interest (compounded quarterly). What will be the compound interest of 6 months?
Option 1: Rs. 268.60
Option 2: Rs. 190.50
Option 3: Rs. 164.60
Option 4: Rs. 242.40
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile