This selected question prepared by

Mr. Ashish Gupta Mr. Anil kr. Gupta

(M.Tech)

COMPOUND INTERESt
Q.1- Calculate the difference between the compound interest and the Simple interest on Rs 12000 at 9% per annum in 2 year. Q.2- A man borrows Rs 5000 at 12% compound interest per annum, interest payable after six month. He pays back Rs 1800 at the end of every six months. Calculate the third payment he has to make at the end of 18 months in order to clear the entire loan. Q.3- Asha invest Rs 240000 for 2 year at 10% per annum compounded annually. If the income tax at 20% is deducted at the end of each year on interest accrued, find the amount she received at the end of 2 year. Q.4- The simple interest on a certain sum of money for 2 year at 10% per annum is Rs 1600. Find the amount due and the compound interest on this sum of money at the same rate after 3 year, interest being reckoned annually. Q.5- Rohit borrows Rs 86000 from Arun for two year at 5% simple interest per annum. He immediately lends out this money to Akshay at 5% compound interest annually for the same period. Calculate Rohits profit in the transaction at the end of two years. Q.6- Akhil invest Rs 12000 in a company at interest compounded semi-annually. He received rs 15972 after 18 months from the company. Find the rate of interest per annum. Q.7- Determine the rate of interest per annum for a sum that becomes 729/625 of itself in one year, compounded half-yearly. Q.8- The compound interest, calculated yearly, on a certain sum of money for the second year is Rs 880 and for the third year it is Rs 968. Calculate the rate of interest and the original money. Q.9- The simple interest 3 year and the compound interest in the years on a certain sum at the same rate are Rs 1200 and Rs 832 respectively. Find: (i) the rate of interest (ii) the principal

(iii) the difference between the C.I. and S.I. for 3 years. Q.10- On a certain sum of money the difference between the Compound interest for a year, payable half-yearly and the simple interest for a year is Rs 180. Find the sum lent out, if the rate of interest in both the cases is 10%. Q.11- A man borrows a sum of money and agree to pay off by paying Rs 3150 at the end of the first year and Rs 4410 at the end of the second year. If the rate of compounded interest is 5% per annum, Calculate the sum borrowed. Q.12- Find the amount and the compound interest on Rs100000 compounded quarterly for 9 months at the rate of 4% p.a. Q.13- The amount at compound interest which is calculated yearly on a certain sum of money is Rs 1250 in one year and Rs 1375 in two years. Calculate the rate of interest. Q.14- A sum of money in lent out at compound interest for two years at 20% p.a., C.I. being reckoned yearly. If the same sum of money is lent out at compound interest at the same rate % per annum, C.I. being reckoned half-yearly, it would have fetched Rs 482 more by way of interest. Cal. The sum of money lent out. Q.15- The value of a machine, purchased two years ago, depreciates at the annual rate of 10%. If its % value is Rs 97200, find: (i) its value after 3 years (ii) its value when it was purchased. Q.16- 6000 workers were employed to construct a bridge in four year . At the end of first year , 20% workers were retrenched. At the end of second year, 5% of the workers at the time were retrenched. However, to complete the project in time, the number of workers was increased by 15% at the end of third year. How many workers were working during the fourth year? Q.17- 24000 blood donors were registered with red cross at Kolkata. The number of donors increased at the rate of 5% every six months. Find the time period at the end of which the total number of blood donors becomes 27783. Q.18- Mahindra set up a factory by investing Rs 2500000. During the first two years, his profits were 5% and 10% respectively. If each year the profit was on previous years capital, cal .His total profit. Q.19-Mr. Durani bought a plot of land for Rs 180000 and a car for Rs 320000 at the same time. The value of the plot of land grows uniformly at the rate of 30% p.a.,While the value of the car depreciates by 20% in the first year and by 15% p.a. there after. If he sells the plot of land as well as the car after 3 years, what will be his profit or loss.

Q.20- The value of a property is increasing at the rate of 25% every year. By what % will the value of the property increase after 3 years?

ANSWER
1) Rs97.20 2) Rs 2024.60 3) Rs 279936 4) Rs 10648; Rs 2648 5) Rs 215 6) 20% 7) 16% 8) Rs8000 9) 8%; Rs 5000, Rs5000 10) Rs72000 11) Rs7000 12) Rs103030.10; Rs3030.10 13) 10% 14) Rs20000 15) Rs120000 16) Rs 5244 17) 1.5year 18) Rs387500 19) Rs80420 20) 95 5/16%