Compound Interest
1. What is the compound interest on ₹10,000 at 10% per annum for 2 years, compounded annually?
A. ₹1,000
B. ₹2,000
C. ₹2,100
D. ₹2,500
C. ₹2,100
2. ₹5,000 invested at 8% per annum compounded half-yearly for 1 year amounts to:
A. ₹5,400
B. ₹5,404
C. ₹5,408
D. ₹5,412
C. ₹5,408
3. The compound interest on ₹8,000 at 12% per annum for 6 months, compounded quarterly, is:
A. ₹480
B. ₹487.20
C. ₹492.80
D. ₹496.40
B. ₹487.20
4. The difference between compound interest and simple interest on ₹20,000 at 5% per annum for 2 years is:
A. ₹50
B. ₹100
C. ₹150
D. ₹200
A. ₹50
5. In how many years will ₹15,625 amount to ₹17,576 at 8% per annum, compounded annually?
A. 1 year
B. 1.5 year
C. 2 year
D. 2.5 year
B. 1.5 year
6. At what rate percent per annum will ₹6,000 amount to ₹6,945 in 3 years, compounded annually?
A. 4%
B. 5%
C. 6%
D. 8%
B. 5%
7. The principal that amounts to ₹9,261 in 3 years at 5% per annum, compounded annually, is:
A. ₹7,500
B. ₹8,000
C. ₹8,500
D. ₹9,500
B. ₹8,000
8. If ₹12,000 is invested at 10% per annum, which compounding gives more interest: annual or semi-annual?
A. Annual
B. Semi-annual
C. Both give the same
D. Cannot determine
B. Semi-annual
9. How long will it take for money to double at 10% per annum, compounded annually?
A. 5 years
B. 7.27 years
C. 8 years
D. 10 years
B. 7.27 years
10. If inflation is 6% per annum, the purchasing power of ₹50,000 after 2 years is:
A. ₹44,000
B. ₹44,100
C. ₹44,500
D. ₹45,000
B. ₹44,100