A) 7401.22 | B) 3456 |

C) 4567 | D) 7890 |

Explanation:

With slight modifications, the basic formula can be made to deal with compounding at intervals other than annually.

Since the compounding is done at six-monthly intervals, 4 per cent (half of 8 per cent) will be added to the value on each occasion.

Hence we use r = 0.04. Further, there will be ten additions of interest during the five years, and so n = 10. The formula now gives:

V = P(1 + r)10 = 5,000 x (1.04)10 = 7,401.22

Thus the value in this instance will be £7,401.22.

In a case such as this, the 8 per cent is called a nominal annual

rate, and we are actually referring to 4 per cent per six months.

A) Rs. 364 | B) Rs. 432 |

C) Rs. 498 | D) Rs. 554 |

Explanation:

Here Avinash gave to Rajeev and Rajeev gave the same to Chanukya

Principal amount and Time is same but the only difference is Rate of interest.

Rajeev took @ 8% and gave it to Chanukya @ 6%

Here the difference in interest rate = 2%

2% of 5400 should be the extra amount paid by Rajeev to Avinash

Required amount = $\frac{\mathbf{2}\mathbf{}\mathbf{x}\mathbf{}\mathbf{5400}\mathbf{}\mathbf{x}\mathbf{}\mathbf{4}}{\mathbf{100}}\mathbf{}\mathbf{=}\mathbf{}\mathbf{432}$

Hence, **Rs. 432** is the extra amount has to be paid by Rajeev to Avinash after 4 years.

A) Rs. 2550 | B) Rs. 2424 |

C) Rs. 2224 | D) Rs. 2380 |

Explanation:

Now, the principal amount P = Rs. 1,45,440

Rate of interest R = 20%/annum

Now monthly income I = PTR/100 = 1,45,440 x 20 x 1/100 x 12

= 2908800/1200

= Rs. 2424.

Hence, her monthly income =** Rs. 2424.**

A) 2.9 years | B) 3.5 years |

C) 4.2 years | D) 4.7 years |

Explanation:

Given that Rs. 1860 will become Rs. 2641.20 at 12%

=> Simple Interest = 2641.20 - 1860 = Rs. 781.20

We know **I = PTR/100**

=> 781.20 x 100 = 1860 x T x 12

=> T = 78120/1860x12

=> T = 78120/22320

=> T = 3.5 years.

A) 30% | B) 25% |

C) 22% | D) 18% |

A) Rs. 175 | B) Rs. 220.75 |

C) Rs. 126 | D) Can't be determined |

Explanation:

Here given Interest earned = Rs. 2260

Time = 3 years

Rate of interest = ?

Principal Amount = ?

So, it can't be determined.

A) 14.5% | B) 11% |

C) 12% | D) 10.5% |

Explanation:

Let the interest rate be r%

We know that,

S.I = PTR/100

=> (1540 x 5 x r)/100 + (1800 x 4 x r)/100 = 1788

=> r = 178800/14900 = 12%

A) Rs. 6000 | B) Rs. 5550 |

C) Rs. 7500 | D) Rs. 6580 |

Explanation:

Let the sum invested be Rs. P

Let the rate of interest be R% per annum

=> Interest earned for 5 years = (P x 5 x R/100) = PR/20

Now, given that the interest earned increased by Rs. 600 if the Rate increased to (R+2)%

=> SI = (P x 5 x (R+2))/100 = PR/20 + 10P/100

Hence,

PR/20 + 10P/100 = PR/20 + 600

=> P = 6000

Therefore, the sum invested is **Rs. 6000**

A) Rs. 101 | B) Rs. 98.5 |

C) Rs. 124.3 | D) Rs. 112.5 |

Explanation:

Manju borrows Rs. 5000 for 2 years at 4% p.a. simple interest

She also lends it at 6 1⁄4% p.a for 2 years

=> Total Gain = 6 1/4% − 4% = 2 1/4%

So her gain in the transaction for 1 year

= The simple interest she gets for Rs.5000 for 1 year at 2 1⁄4% per annum

= $\frac{PTR}{100}=\frac{5000\times {\displaystyle \frac{9}{4}}\times 1}{100}$ = Rs. 112.5/ year.