Interest Mcqs
Q.1: An automobile financier claims to be lending money at simple interest, but he includes the interest every six months for calculating the principal. If he is charging an interest of 10%, the effective rate of interest becomes :_________?
A. 10%
B. 10.25%
C. 10.50%
D. None of these
Q.2: What will be the ratio of simple interest earned by certain amount at the same rate of interest for 6 years and that for 9 years ?
A. 1 : 3
B. 1 : 4
C. 2 : 3
D. Data inadequate
Q.3: A sum of money trebles itself in 15 years, 6 months. In how many years would it double itself ?_
A. 6 years 3 months
B. 7 years 9 months
C. 8 years 3 months
D. 9 years 6 months
Q.4: A sum of money amounts to Rs 9800 after 5 years and Rs. 12005 after 8 years at the same rate of simple interest. The rate of interest per annum is :
A. 5%
B. 8%
C. 12%
D. 15%
Q.5: A sum of Rs. 12,500 amounts to Rs. 15,500 in 4 years at the rate of simple interest What is the rate of interest ?r
A. 3%
B. 4%
C. 5%
D. 6%
Q.6: A man took a loan from a bank at the rate of 12% p.a. simple interest. After 3 years he had to pay Rs. 5400 interest only for the period. The principal amount borrowed by him was :
A. Rs. 2000
B. Rs. 10,000
C. Rs. 15,000
D. Rs. 20,000
Q.7: Nabeela took a loan of Rs. 1200 with simple interest for as many years as the rate of interest. If she paid Rs. 432 as interest at the end of the loan period, what was the rate of interest ?
A. 3.6
B. 6
C. 18
D. Cannot be determined
Q.8: What is the present worth of Rs. 132 due in 2 years at 5% simple interest per annum ?U
A. Rs. 112
B. Rs. 118.80
C. Rs. 120
D. Rs. 122
Q.9: A father left a will of Rs.35 lakhs between his two daughters aged 8.5 and 16 such that they may get equal amounts when each of them reach the age of 21 years. The original amount of Rs.35 lakhs has been instructed to be invested at 10% p.a. simple interest. How much did the elder daughter get at the time of the will??
A. 17.5 lakhs
B. 21 lakhs
C. 15 lakhs
D. 20 lakhs
Q.10: An amount of 5,000 is invested at a fixed rate of 8 per cent per annum. What amount will be the value of the investment in five years time, if the interest is compounded every six months?
A. 7401.22
B. 3456
C. 4567
D. 7890