QA Arithmetic – 03

SI and CI; Instalments

Question 1
Narayan and Murthy invested some money at 6% and 7% per annum respectively of SI. At
the end of 2 years they found that together they received Rs. 354 as interest. One-fourth of
Narayan’s initial investment is equal to one-fifth of the money invested by Murthy. Find the
total money invested.
(1) Rs. 2,746.5
(2) Rs. 2,600
(3) Rs. 2,700
(4) Rs. 2,880
Question 2
Bhawna lent part of Rs.10,000 to Myra, one of her friends at 8% SI for 4 years. She
invested the remaining amount at 12% SI. Total income from interest after 4 years was
Rs. 3,800. What was sum (in Rs.) lent to Myra?
Question 3
Veeru invested Rs 10000 at 5% simple annual interest, and exactly after two years, Joy
invested Rs 8000 at 10% simple annual interest. How many years after Veeru’s investment,
will their balances, i.e., principal plus accumulated interest, be equal?
Question 4
A person invested a total amount of Rs. 15 lakh. A part of it was invested in a fixed deposit
earning 6% annual interest, and the remaining amount was invested in two other deposits
in the ratio 2 : 1, earning annual interest at the rates of 4% and 3%, respectively. If the total
annual interest income at the end of the first year is Rs 76000 then the amount (in Rs lakh)
invested in the fixed deposit was
Question 5
Alex invested his savings in two parts. The simple interest earned on the first part at 15%
per annum for 4 years is the same as the simple interest earned on the second part at 12%
per annum for 3 years. Then, the percentage of his savings invested in the first part is
(1) 62.5%
(2) 40%
(3) 60%
(4) 37.5%
Question 6
An amount of Rs. 7,000 was divided into two equal parts. The first part was deposited in a
bank at simple interest rate of 8% per annum for three years. The second part was
deposited in another bank at the rate of 10% per annum, compounded annualy, for 2 years.
What is the difference in the interests earned from the two amounts?
Question 7
A sum of money compounded annually becomes Rs. 625 in 2 years and Rs. 675 in 3 years.
The rate of interest per annum is
(1) 7%
(2) 10%
(3) 5%
(4) 8%
Question 8
Difference between compound interest and simple interest for 2 years on a sum of money
is Rs. 160. If total simple interest is Rs. 2,880, then find rate of interest.
5
(1) 5 %
9
1
(2) 12 %
2
1
(3) 11 %
9
(4) 9%
Question 9
A certain amount of money compounded annually at r% becomes Rs. 1,440 and Rs. 1,728
after 2 and 3 years respectively. Find the value of r.
(1) 5%
(2) 10%
(3) 15%
(4) 20%
Question 10
If the difference between the CI and the SI at the end of 2 years is Rs. 100, what is the
principal? Rate is 5% per annum in both the cases. (Assume same principal for both the
cases.)
(1) Rs. 50,000
(2) Rs. 40,000
(3) Rs. 10,000
(4) None of these
Question 11
For the same principal amount, the compound interest for two years at 5% per annum
exceeds the simple interest for three years at 3% per annum by Rs 1125. Then the principal
amount in rupees is
Question 12
Amal invests Rs 12000 at 8% interest, compounded annually, and Rs 10000 at 6% interest,
compounded semi-annually, both investments being for one year. Bimal invests his money
at 7.5% simple interest for one year. If Amal and Bimal get the same amount of interest,
then the amount, in Rupees, invested by Bimal is
Question 13
Raj invested Rs. 10000 in a fund. At the end of first year, he incurred a loss but his balance
was more than Rs. 5000. This balance, when invested for another year, grew and the
percentage of growth in the second year was five times the percentage of loss in the first
year. If the gain of Raj from the initial investment over the two year period is 35%, then the
percentage of loss in the first year is
(1) 10
(2) 5
(3) 70
(4) 15
Question 14
Bank A offers 6% interest rate per annum compounded half yearly. Bank B and Bank C
offer simple interest but the annual interest rate offered by Bank C is twice that of Bank B.
Raju invests a certain amount in Bank B for a certain period and Rupa invests Rs. 10,000 in
Bank C for twice that period. The interest that would accrue to Raju during that period is
equal to the interest that would have accrued had he invested the same amount in Bank A
for one year. The interest accrued, in INR, to Rupa is
(1) 1436
(2) 2346
(3) 2436
(4) 3436
Question 15
Anil invests some money at a fixed rate of interest, compounded annually. If the interests
accrued during the second and third year are Rs. 806.25 and Rs. 866.72, respectively, the
interest accrued, in INR, during the fourth year is nearest to
(1) 931.72
(2) 926.84
(3) 929.48
(4) 934.65
Question 16
Mrs. Gupta is planning for higher education expenses of her two sons aged 15 and 11. She
plans to divide Rs. 20 lakhs in two equal parts and invest in two different plans such that
her sons may have access to Rs. 25 lakhs each when they reach the age of 21. She is
looking for plans that will give her a simple interest per annum. The rates of interest of the
plans for her younger son and her elder son should be
(1) 8% and 12% respectively
(2) 10% and 15% respectively
(3) 15% and 22.5% respectively
(4) 15% and 25% respectively
Question 17
John borrowed Rs. 2,10,000 from a bank at an interest rate of 10% per annum,
compounded annually. The loan was repaid in two equal instalments, the first after one year
and the second after another year. The first instalment was interest of one year plus part of
the principal amount, while the second was the rest of the principal amount plus due
interest thereon. Then each instalment, in Rs., is
Question 18
A cellphone is available for Rs. 39000 cash or Rs. 6000 cash down payment followed by
4 equal monthly installments at 24% p.a. compound interest, compounded monthly. Find
the value of each installment.
(1) 12000
(2) 15320
(3) 9640
(4) None
Question 19
Suresh borrows Rs. 8,000 at 5% interest, on reducing balance, at the start of the year. If he
repays Rs. 1,400 at the end of each year, find the amount of loan outstanding, in Rs. at the
beginning of the third year.
(1) 3162.75
(2) 4125.00
(3) 5950.00
(4) 6100.00
Question 20
A person borrowed some money at 16% p.a. compound interest, compounded quarterly. He
paid Rs. 17,576 every time to pay back whole amount after 3 months, 6 months and
9 months. Find the initial amount (in Rs.).
Thanks!