What sum will amount to Rs 6000 in 3 years at 5% pa compound interest?

Directions: Kindly read the questions carefully and answer the questions given below.

1

What would be the compound interest obtained on an amount of Rs. 4,800 at the rate of 5 p.c.p.a after 3 years?

A. Rs 623.5

B. Rs 756.5

C. Rs 817.8

D. Rs 448.7

2

The difference between compound interest and simple interest at the same rate of interest R percent per annum on an amount of Rs. 15,000 for 2 years is Rs. 96. What is the value of R?

A. 8%

B. 10%

C. 12%

D. Can't be determined due to insufficient data

3

There is 60% increase in an amount in 6 years at simple interest. What will be the compound interest on Rs. 12000 after 3 years at the same rate of interest?

A. Rs. 2160

B. Rs. 3120

C. Rs. 3972

D. Rs. 6240

4

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 at the rate of 10%, the effective rate interest becomes 

A. 10.25%

B. 10.5%

C. 10.75%

D. 11%

5

The certain sum will amount to Rs 12,100 in 2 years at 10% per annum of compound interest, interest being compounded annually. The sum is

A. Rs. 10,000

B. Rs. 8,000

C. Rs. 6,000

D. Rs. 12,000

6

The difference between C.I. and S.I. on Rs. 6000 for 1 year at 20% per annum recorded half yearly is:

A. 45

B. 55

C. 60

D. 58

7

Divide Rs. 2602 between X and Y so that the amount of X after 7 yr is equal to the amount of Y after 9 yr, the interest being compounded at 4% pa.

A. Rs. 1352, Rs. 1250

B. Rs. 1252, Rs. 1350

C. Rs. 1400, Rs. 1202

D. Rs. 1052, Rs. 1500

8

A man borrows Rs. 5100 to be paid back with compound interest at the rate of 4% pa by the end of 2 yr in two equal yearly investments. How much will each installment be?

A. ₹ 2704

B. ₹ 2800

C. ₹ 3000

D. ₹ 2500

9

Sushmita invests a certain sum of money for 3 years at 10% pa at simple interest rate. The SI accrued is half the CI on Rs. 10000 for 2 years at 10% pa. Find the sum placed on simple interest?

A. ₹ 3200

B. ₹ 3500

C. ₹ 3000

D. ₹ 1050

10 What is the CI accrued on an amount of Rs. 16000 at the rate of 5% per annum at the end of 2 years?

A. ₹ 1640

B. ₹ 1832

C. ₹ 1540

D. ₹ 1400

Explanation:

P = 4800, T = 3 years, R = 5% By the net% effect we would calculate the effective compound rate of interest for 3 years = 15.76% (Refer to sub-details) Therefore, CI = 15.76% of 4800

Sub-details: Calculation of effective compound rate of interest for 3 years will be as follows. For the first 2 years, let's apply the net% effect.

Here, x = y = 5%

Traditional Method:

Explanation:

Smart Approach: To solve this question, we can apply a short trick approach

Explanation:

Since increase in interest in 6 years = 60% Therefore, increase in interest in 1 year = 10% (Rate of interest) Now, P = 12000, T = 3 years & R = 10% p.a. By the net% effect we would calculate the effective compound rate of interest for 3 years = 33.1% (Refer to sub-details) Therefore, CI = 33.1% of 12000

Sub-details: Calculation of effective compound rate of interest for 3 years will be as follows. For the first two years, let's apply the net% effect.

Here, x = y = 10%

Explanation:

Yearly rate of interest  = 10% Rate of interest charged on half yearly basis = 5% It's given that the financier charges interest on half yearly basis. Hence, he actually charges Compound Interst and not Simple Interest. Therefore, applying the net% effect formula for effective rate of compound interest for 2 half years (1 year = 2 half years), we get

Explanation:

To solve this question, we can apply a net% effect formula

Traditional Method:

Explanation:

Method I: To solve this question, we can apply a short trick approach

Method II:

Traditional Method:

Explanation:

Let the first part = x. Then, Second part = (2602 – x) According to the question,

Explanation:

Let the installments be x. Then, According to the question,

Explanation:

Applyng the net% effect formula to calculate the net CI rate for 2 years, we get

Explanation:

To solve this question, we can apply the net% effect formula