Most Important Questions of Simple and Compound Interest for SBI PO |

As we all know SBI PO is here and we are ready with the 80 days plan in which we provide you daily quizzes on new pattern questions with different topics that will help you to go through this exam.

So, here we are with the Most important questions of SI & CI.

Q1. A sum of money invested at simple interest triples itself in 8 years. How many times will it become in 20 years time?

(a) 8 times

(b) 7 times

(d) 9 times

(e) None of these

Q2. Simple interest on a certain amount is 9/16 of the principal. If the numbers representing the rate of interest in percent and time in years be equal, then time, for which the principal is lent out, is

Most Important Questions of Simple and Compound Interest for SBI PO |_3.1

Q3. If the rate increases by 2%, the simple interest received on a sum of money increases by Rs. 108. If the time period is increased by 2 years, the simple interest on the same sum increases by Rs. 180.The sum is :

(a) Rs. 1800

(b) Rs. 3600

(d) Data inadequate

(e) None of these

Q4. The difference between C.I. and S.I. on a certain sum of money at 10% per annum for 3 years is Rs. 620. Find the principal if it is known that the interest is compounded annually.

(a) Rs. 2,00,000

(b) Rs. 20,000

(d) Rs. 1,00,000

(e) None of these

Q5. Two equal sums of money were invested, one at 4% and the other at 4.5%. At the end of 7 years, the simple interest received form the latter exceeded to that received from the former by Rs. 31.50. Each sum was

(a) Rs. 1,200

(b) Rs. 600

(d) Rs. 900

(e) None of these

Q6. Mr. X invested an amount for 2 years at 15 percent per annum at simple interest. Had the interest been compounded anually, he would have earned Rs. 450/- more as interest. What was the amount invested ?

(a) Rs. 22,000

(b) Rs. 24,000

(d) Can’t be determined

(e) None of these

Q7. Subash purchased a refrigerator on the terms that he is required to pay Rs. 1,500 as cash down payment followed by Rs, 1,020 at the end of first year, Rs. 1,003 at the end of second year and Rs. 990 at the end of third year. Interest is charged at the rate of 10% per annum. Calculate the cost price

(a) Rs. 3,000

(b) Rs. 2,000

(d) Rs. 5000

(e) Rs. 4500

Q8. A person invested in all Rs. 2600 at 4%, 6% and 8% per annum simple interest. At the end of the year, he got the same interest in all the three cases. The money invested at 4% is :

(a) Rs. 200

(b) Rs. 600

(d) Rs. 1200

(e) None of these

Q9. Arun invested a sum of money at a certain rate of simple interest for a period of 4 yrs. The total interest earned by him would have been 50% more than the earlier interest amount when invested for 6 years. What was the rate of interest per cent per annum ?

(a) 4

(b) 8

(d) Can’t be determined

(e) None of these

Q10. Three persons Amar, Akbar and Anthony invested different amounts in a fixed deposit scheme for one year at the rate of 12% per annum and earned a total interest of Rs. 3,240 at the end of the year. If the amount invested by Akbar is Rs. 5000 more than the amount invested by Amar and the invested by Anthony is Rs. 2000 more than the amount invested by Akbar, what is the amount invested by Akbar ?

(a) Rs. 12,000

(b) Rs.10,000

(d) Rs. 5000

(e) None of these

Q11. Rajesh gave Rs. 1200 on loan. Some amount he gave at 4% per annum on simple interest and remaining at 5% per annum on simple interest. After two years, he got Rs. 110 as interest. Then the amounts given at 4% and 5% per annum on simple interest are, respectively

(a) Rs. 500, Rs. 700

(b) Rs. 400, Rs. 800

(d) Rs. 1100, Rs. 1100

(e) None of these

Q12. Find the compound interest on Rs. 64,000 for 1 year at the rate of 10% per annum compounded quarterly (to the nearest integer).

(a) Rs. 8215

(b) Rs. 8205

(d) Can’t be determined

(e) None of these

Q13. If a principal P becomes Q in 2 years when interest R% is compounded half-yearly. And if the same principal P becomes Q in 2 years when interest S% is compound annually, then which of the following is true ?

(a) R > S

(b) R = S

(d) R ≤ D

(e) None of these

Q14. A sum of Rs. 8000 is borrowed at 5% p.a. compounded interest and paid back in 3 equal annual instalments. What is the amount of each instalment ?

(a) Rs. 2937.67

(b) Rs. 3000

(d) Rs. 2739.76

(e) None of these

Q15. The rate of interest on a sum of money for the first two years is 6 % p.a., for the next two years it is 7% p.a. and 8% p.a. for the period exceeding four year; all at simple interest. If a person earns an interest of Rs. 7,536 by the end of the seven years, what is the amount at the end of the period of investment ?

(a) Rs. 15,072

(b) Rs. 11,304

(d) Rs. 21,308

(e) None of these