CAT Questions

Q:

Compounding interest means interest accrues

A) at variable rates throughout the term B) more quickly than simple interest
C) more slowly than simple interest D) at the same rate as simple interest
 
Answer & Explanation Answer: B) more quickly than simple interest

Explanation:

Compounding interest means interest accrues on the interest charged and the principal amount each period the interest is charged.

Compound interest is calculated by multiplying the principal amount by one plus the annual interest rate raised to the number of compound periods minus one.The total initial amount of the loan is then subtracted from the resulting value.

The formula for calculating compound interest is:

[P (1 + i)n] – P

= P [(1 + i)n – 1]

(Where P = Principal, i = nominal annual interest rate in percentage terms, and n = number of compounding periods.)


Take a three-year loan of Rs. 10,000 at an interest rate of 5% that compounds annually. What would be the amount of interest? In this case, it would be:

Rs. 10,000 [(1 + 0.05)3] – 1

= 10,000 [1.157625 – 1]

= Rs. 1,576.25.

 

How it grows ::

 

compound_interest1532497613.jpg image

 

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Q:

What is the lowest layer of the atmosphere called as

A) Ionosphere B) Thermosphere
C) Troposphere D) Mesosphere
 
Answer & Explanation Answer: C) Troposphere

Explanation:

The troposphere is the lowest layer of the Earth's atmosphere. The air is very well mixed and the temperature decreases with altitude. Air in the troposphere is heated from the ground up. The surface of the Earth absorbs energy and heats up faster than the air does.

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Q:

A simple rule concerning water and electrolyte regulation is

A) water passively follows salt B) salt actively follows water
C) water actively follows salt D) salt passively follows water
 
Answer & Explanation Answer: A) water passively follows salt

Explanation:

A simple rule concerning water and electrolyte regulation is water passively follows salt.

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Q:

Which of the following is true of enzymes?

A) Enzymes lowers the activation energy for the chemical reaction B) Enzymes speed up the rate of a chemical reaction
C) Both A & B D) Neither A nor B
 
Answer & Explanation Answer: C) Both A & B

Explanation:

Enzymes are macromolecular biological catalysts. Enzymes accelerate chemical reactions. The molecules upon which enzymes may act are called substrates and the enzyme converts the substrates into different molecules known as products.

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Q:

What is the reciprocal of a negative number?

Answer

The reciprocal of a negative number is always a negative number. So that the number and its reciprocal multiply to 1. 


 


All real numbers except 0 have reciprocals.

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Q:

Smallest prime number greater than 200?

A) 201 B) 205
C) 211 D) 203
 
Answer & Explanation Answer: C) 211

Explanation:

From the trial and error method of division,

201 is divisible by 3

205 is divisible by 5

203 is divisible by 7

 

Hence, after eliminating three options, remained is 211 and is divisible by only 1 and itself. 

 

Therefore, 211 is the smallest prime number greater than 200.

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Q:

Which macronutrient is vital for every function of the body?

A) Fats B) Carbohydrates
C) Water D) Proteins
 
Answer & Explanation Answer: C) Water

Explanation:

The macronutrient water is the most essential nutrient which plays a vital role in every function of the body. Macronutrients are those nutrients that are required in excess amounts for the development and functioning of the body.

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Q:

Which among the following type of soil has the largest area covered in India?

A) Laterite B) Alluvial
C) Black D) Red
 
Answer & Explanation Answer: B) Alluvial

Explanation:

Alluvial type of soil has the largest area covered in India. Alluvial soils are fine-grained fertile soil deposited by water flowing over flood plains or in river beds. Most of the soil is Sandy and clayey soils are not uncommon.

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