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1
SIMPLE INTEREST
1. A sum of Rs.5984 becomes Rs.8976 in 6
years at simple interest. What is the rate of
interest?
1) 12% 2) 7% 3) 8
1
% 4) 6%
5) None of these
3
2. What sum of money will amount to Rs.8850
in three years, at the rate of interest being
5%, 6% and 7% during 1st, 2nd and 3rd
years respectively?
1) Rs.8500 2) Rs.8000 3) Rs.7800
4) Rs.8300 5) None of these
3. At what rate of interest per annum will a sum
of money be 60% more in 5 years?
1) 6% 2) 5% 3) 9%
4) 12% 5) None of these
4. Out of a certain sum of money,
1

3
rd is invest-
ed at 3%,
1

6
th is invested at 6% and the rest
at 8%. If the simple interest for 2 years from
all these investments is Rs.1020, what is the
original sum?
1) Rs.9500 2) Rs.7000 3) Rs.8500
4) Rs.8000 5) None of these
5. A sum of Rs.6800 is lent out in two parts in
such a way that the interest on one part at
8% p.a for 5 years is same as on the other
part at 7.5% p.a. for 6 years. Find the first
part.
1) Rs.3200 2) Rs.3600 3) Rs.3300
4) Rs.1800 5) None of these
6. A sum of Rs.1400 becomes Rs.1652 in three
years at certain rate of simple interest. What
will be the amount if the rate of interest is
increased by 3%?
1) Rs.378 2) Rs.1748 3) Rs.1586
4) Rs.1778 5) None of these
7. The rate of simple interest on a certain
amount of money is 6% p.a. for the first two
years, 9% p.a. for next five years 13% p.a.
for the period beyond seven years. If the
total interest on a sum at the end of ten years
is Rs.9120, what is the sum?
1) Rs.9500 2) Rs.10500 3) Rs.12500
4) Rs.11750 5) None of these
8. A sum was invested at simple interest at a
certain rate for two years. It would have
fetched Rs.180 more had it been invested at
2% higher rate. What was the sum?
1) Rs.8500 2) Rs.4500 3) Rs.5600
4) Rs.9000 5) None of these
9. A certain sum of money lent out at a certain
rate of interest per annum dou-
bles itself in 8 years. In how
many years will it treble itself?
1) 12 3) 18 3) 24 4) 16
5) None of these
10. A certain sum of money amount to Rs.2016
in two years and Rs.2340 in five years at a
certain rate of simple interest. Find the rate.
1) 8% 2) 5% 3) 3%
4) 4% 5) None of these
COMPOUND INTEREST
11. A sum of money invested at compound
interest will
become Rs.650 at
the end of first year
and 676 at the end
of second year.
What is the sum?
1) Rs.600
2) Rs.625
3) Rs.700
4) Rs.675 5) None of these
12. What will be the amount on Rs.25000 in 2
years at compound interest, if the rates for
the successive years be 4% and 5% per
year?
1) Rs.26800 2) Rs.26725
3) Rs.27300 4) Rs.27675
5) None of these
13. What sum will become Rs.6690
in 3 years and Rs.10035 in six
years on compound interest?
1) Rs.4600 2) Rs.4640
3) Rs.4700 4) Rs.4460
5) None of these
14. On what sum does the difference
between simple and compound
interest for two years at 5% per annum be
Rs.153.60?
1) Rs.24000 2) Rs.26250 3) Rs.25000
4) Can't be determined
5) None of these
15. Population of a town in 2004 was 12000.
What will be the population in 2007, if it
increases annually at 10%?
1) 15600 2) 14400 3) 14500
4) 16500 5) None of these
16. What is the difference between simple and
compound interest for three years on
Rs.16000 at 10% p.a?
1) Rs.348 2) Rs.122 3) Rs.496
4) Can't be determined 5) None of these
17. A sum of money will become double in 3
years at compound interest. In what time
will it become four times itself?
1) 9yrs 2) 6yrs 3) 12yrs
4) Can't be determined 5) None of these
18. Priya borrowed Rs.4000 at 5% p.a. com-
pound interest. After 2 years, she repaid
Rs.2210 and after 2 more years she paid
the balance with interest. What was the
total amount that she paid as interest?
1) Rs.625 2) Rs.622.50 3) Rs.696
4) Rs.635.50 5) None of these
19. What is the compound interest on
Rs.25000 for 1
1

2
year at 8% per annum,
interest being calculated half yearly?
1) Rs.3225 2) Rs3050.50 3) Rs.3121.60
4) Rs.2995.50 5) None of these
20. The compound interest on a certain sum of
money for the 5th year at 6% per annum is
Rs.583. What was the compound interest
for the fourth year on the same sum?
1) Rs.550 2) Rs.500 3) Rs.625
4) Rs.525 5) None of these
What is the original sum?
G.S.Giridhar
QUANTITATIVE APTITUDE
..... ..... . . .. ....
Explanations
1. P =
100A

100 +TR
5984 =
100 8976
R = 8
1
%
3
100 + 6R
2. Let the principal be Rs.100
Interests for three years will be Rs. 5, Rs. 6
and Rs.7 respectively
Total amount for
3 years is 100 + 5 + 6 + 7 = Rs.118
If the amount is Rs. 118, principal is Rs.100
If the total amount is Rs.8850, then the prin
8850 100
cipal is = Rs.7500
118
3. Let the principal be Rs.100, then the simple
interest will be Rs.60 in 5 years.
60 100
R = = 12%
100 5
1 1 1
4. Rest of the money 1 -
(
+
)
=
3 6 2
Average rate per annum on the total money
1 1 1
=
(
3
)
+
(
6
)
+
(
8
)
= 6%
3 6 2
100 SI 100 1020
P = = = Rs.8500
T R 2 6
5. Let the first part be Rs. x, then the second
part will be (6800 - x)
x 5 8 (6800 - x) 6 7.5
=
100 100
x = 3600
100 SI 100 252
6. R = R = = 6%
P T 1400 3
Now the rate of interest is 6 + 3 = 9%
TR
New Amount is P
(
1 +
)
100
3 9
= 1400
(
1 +
)
= Rs.1778
100
Shortcut: If the rate of interest is increased by
3% then the amount will also increase by
that much
1400 3 3
New interest is = Rs.126
100
New amount is 1652 + 126 = Rs.1778
7. Let the principal be Rs.x
x 2 6 x 5 9 x 3 13
+ +
100 100 100
= 9120
x
(12 + 45 + 39) = 9120
100
x = Rs.9500
8. It fetches Rs.180 more in 2 years.
It fetches Rs.90 more in one year.
that means 2% = Rs.90
100
100% (sum) is 90 = Rs.4500
2
9. Let the principal be Rs.P and the amount will
be Rs. 2P
Rate of interest per annum is
100 (2P -P)
= 12.5%
P 8
100 (3P -P)
Required time is
P 12.5
= 16 years.
Shortcut: Amount doubles in 8 years means to
get 100% interest it takes 8 years to become
treble means to get 200% interest it takes
8+8 = 16 years.
10. Interest for 3 years is 2340 - 2016 = Rs.324
324
Interest for one year = 108
3
and for two years is 2 108 = Rs.216
Principal 2016 - 216 = Rs.1800
108 100
Rate of interest is = 6%
1800 1
11. Interest on Rs. 650 is 676 - 650 = Rs.26
26
Rate of interest = 100 = 4%
650
R
T
Amount = P
(
1 +
)
100
4
1
650 100
650 = P
(
1 +
)
= = Rs.625
100 104
4 5
12. Amount is 25000
(
1 +
)(
1 +
)
100 100
25000 104 105
A = = Rs.27300
100 100
13. Let the sum be Rs.P
R
3
R
6
P
(
1 +
)
= 6690 and P
(
1 +
)
= 10035
100 100
On dividing second by first, we get
R 3 10035 3
(
1 +
)
= =
100 6690 2
substituting this in the first equation,
3
P = 6690 P = Rs.4460
2
14. Difference between simple & compound
P R
2
interest for two years is
100
2
P 64
153.60 = P = Rs.24000
10000
15. Population after 3 years (2007 - 2004) is
10
12000
(
1 +
)
3
= 15972
100
(300 + R)P R
2
16. Difference for 3 years is
100
3
310 16000 100
= Rs.496
1000000
17. Let the money be Rs.100
it becomes Rs.200 in 3 years
again Rs.200 will become Rs.400 in
another 3 years (compound interest)
amount will become four times in 3 + 3
= 6 years
5
2
18. amount after 2 years is 4000
(
1 +
)
100
= 4410
Balance amount is 4410 - 2210 = Rs.2200
Amount after another 2 years is
5
2
2200
(
1 +
)
= 2425.50
100
Total interest is 2425.50 + 2210 - 4000
= Rs.635.50
19. As interest is calculated half yearly, 1
1

2
will
be 3 half years and the rate percent will be
4% per half year.
now, R = 4% and T = 3
4
3
C.I. = 25000
(
1 +
)
- 25000
100
= Rs. 3121.60
20. Let the compound interest in the 4th year
be Rs.x
106 % of x = Rs.583
100
x = 583 = Rs.550.
106
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