Find the principal that yields a compound interest of Rs. 410 in 2 years at 5% per annum. MCQ with Answer and Explanation

Question

Share Report Error

Find the principal that yields a compound interest of Rs. 410 in 2 years at 5% per annum.

A. Rs. 4200

B. Rs. 4000

C. Rs. 4400

D. Rs. 3800

Answer: Option B

Solution (By JKSSB Mock Tests)

CI = P[(1.05)² − 1] = P × 0.1025 = 410 ⇒ P = 410 / 0.1025 = 4000.

This question belongs to: Maths Compound Interest

Request complete Subject PDF

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Compound Interest Questions

Question #1

Share Report

The difference between simple interest and compound interest on a certain sum of money for 3 years at 5% per annum is Rs. 244. Find the sum.

A. Rs. 30000

B. Rs. 32000

C. Rs. 36000

D. Rs. 34000

View Answer & Solution Discuss

Get Complete Subject PDF for Maths

Correct Answer: Option B

Explanation:
Difference for 3 years = P * (R/100)^2 * (3 + R/100) => 244 = P * (5/100)^2 * (3 + 5/100) => 244 = P * (1/400) * (3.05) => P = (244 * 400) / 3.05 = 97600 / 3.05 = Rs. 32000.

This question belongs to: Maths Compound Interest

Question #2

Share Report

At what rate percent per annum will Rs. 8000 amount to Rs. 8820 in 2 years, compound interest compounded annually?

A. 6%

B. 8%

C. 5%

D. 4%

View Answer & Solution Discuss

Get Complete Subject PDF for Maths

Correct Answer: Option C

Explanation:
Amount/Principal = 8820 / 8000 = 882 / 800 = 441 / 400 = (21 / 20)^2. Therefore, 1 + R/100 = 21/20 => R/100 = 1/20 => R = 5%.

This question belongs to: Maths Compound Interest

Question #3

Share Report

The difference between simple interest and compound interest on a certain sum of money for 3 years at 10% per annum is Rs. 93. Find the sum.

A. Rs. 3000

B. Rs. 3500

C. Rs. 2000

D. Rs. 2500

View Answer & Solution Discuss

Get Complete Subject PDF for Maths

Correct Answer: Option A

Explanation:
Difference for 3 years = P * (R/100)^2 * (3 + R/100). Given 93 = P * (10/100)^2 * (3 + 10/100) => 93 = P * (1/100) * (3.1) => 93 = P * 0.031 => P = 93 / 0.031 = Rs. 3000.

This question belongs to: Maths Compound Interest

Explore All Compound Interest MCQs