# Simple and Compound Interest Aptitude Questions and Answers:

#### Overview:

 Questions and Answers Type: MCQ (Multiple Choice Questions). Main Topic: Quantitative Aptitude. Quantitative Aptitude Sub-topic: Simple and Compound Interest Aptitude Questions and Answers. Number of Questions: 10 Questions with Solutions.

1. A man deposited $$Rs.1000$$ in a bank at the rate of $$5 \ \%$$ for two years. Find the simple interest on the principal amount?

1. $$Rs.120$$
2. $$Rs.112$$
3. $$Rs.105$$
4. $$Rs.100$$

Answer: (d) $$Rs.100$$

Solution: Given, principal amount (P) = $$Rs.1000$$

rate of interest (R) = $$5 \ \%$$

time period (T) = $$2$$ years, $$SI = \frac{P \ R \ T}{100}$$ $$= \frac{1000 \times 5 \times 2}{100}$$ $$SI = Rs.100$$

1. If a principal amount become two times in five years, then find the rate of interest on the principal amount?

1. $$10 \ \%$$
2. $$15 \ \%$$
3. $$20 \ \%$$
4. $$25 \ \%$$

Answer: (c) $$20 \ \%$$

Solution: Given, Let principal amount (P) = $$Rs.k$$

after five years the amount = $$Rs.2k$$

interest on principal amount = $$2k - k$$ = $$Rs.k$$, $$SI = \frac{P \ R \ T}{100}$$ $$k = \frac{k \times R \times 5}{100}$$ $$R = \frac{20 \ k}{k} = 20 \ \%$$

1. In how many years a principal amount become double, if rate of interest is $$10 \ \%$$?

1. $$5 \ years$$
2. $$10 \ years$$
3. $$15 \ years$$
4. $$20 \ years$$

Answer: (b) $$10 \ years$$

Solution: Given, Let principal amount (P) = $$Rs.k$$

simple interest = $$2k - k$$ = $$Rs.k$$

rate of interest (R) = $$10 \ \%$$, then $$SI = \frac{P \ R \ T}{100}$$ $$k = \frac{k \times 10 \times T}{100}$$ $$T = 10 \ years$$

1. In how many years a principal amount become four times, if rate of interest is $$25 \ \%$$?

1. $$20 \ years$$
2. $$10 \ years$$
3. $$12 \ years$$
4. $$15 \ years$$

Answer: (c) $$12 \ years$$

Solution: Given, Let principal amount (P) = $$Rs.k$$

simple interest = $$4k - k$$ = $$Rs.3k$$

rate of interest (R) = $$25 \ \%$$, then $$SI = \frac{P \ R \ T}{100}$$ $$3k = \frac{k \times 25 \times T}{100}$$ $$T = 12 \ years$$

1. If a principal amount become six times in ten years, then find the rate of interest on the principal amount?

1. $$20 \ \%$$
2. $$30 \ \%$$
3. $$40 \ \%$$
4. $$50 \ \%$$

Answer: (d) $$50 \ \%$$

Solution: Given, Let principal amount (P) = $$Rs.k$$

after ten years the amount = $$Rs.6k$$

interest on principal amount = $$6k - k$$ = $$Rs.5k$$, $$SI = \frac{P \ R \ T}{100}$$ $$5k = \frac{k \times R \times 10}{100}$$ $$R = \frac{50 \ k}{k} = 50 \ \%$$

1. A girl deposited $$Rs.2000$$ in a bank at the rate of $$10 \ \%$$ for five years. Find the total amount after the maturity period?

1. $$Rs.1000$$
2. $$Rs.2500$$
3. $$Rs.3000$$
4. $$Rs.3500$$

Answer: (c) $$Rs.3000$$

Solution: Given, principal amount (P) = $$Rs.2000$$

rate of interest (R) = $$10 \ \%$$

time period (T) = $$5$$ years, $$SI = \frac{P \ R \ T}{100}$$ $$= \frac{2000 \times 10 \times 5}{100}$$ $$SI = Rs.1000$$ total amount after maturity period, $$A = P + SI$$ $$= 2000 + 1000$$ $$= Rs.3000$$

1. A women deposited a certain amount in a bank at the rate of $$10 \ \%$$ for five years. If after five years the women got interest amount $$Rs.1000$$, then find the principal amount?

1. $$Rs.1000$$
2. $$Rs.2000$$
3. $$Rs.3000$$
4. $$Rs.4000$$

Answer: (b) $$Rs.2000$$

Solution: Given, rate of interest (R) = $$10 \ \%$$

time period (T) = $$5$$ years

simple interest (SI) = $$Rs.1000$$, then $$SI = \frac{P \ R \ T}{100}$$ $$1000 = \frac{P \times 10 \times 5}{100}$$ $$P = Rs.2000$$

1. If a principal amount become double in three years, then find the rate of interest on the principal amount?

1. $$30.5 \ \%$$
2. $$32.2 \ \%$$
3. $$35.2 \ \%$$
4. $$33.3 \ \%$$

Answer: (d) $$33.3 \ \%$$

Solution: Given, Let principal amount (P) = $$Rs.k$$

after three years the amount = $$Rs.2k$$

interest on principal amount = $$2k - k$$ = $$Rs.k$$, $$SI = \frac{P \ R \ T}{100}$$ $$k = \frac{k \times R \times 3}{100}$$ $$R = \frac{100 \ k}{3 \ k} = 33.3 \ \%$$

1. The amount $$Rs.5000$$ is deposited in a bank at the rate of $$20 \ \%$$ for two years. Find the total amount after the maturity period?

1. $$Rs.5000$$
2. $$Rs.6000$$
3. $$Rs.7000$$
4. $$Rs.8000$$

Answer: (c) $$Rs.7000$$

Solution: Given, principal amount (P) = $$Rs.5000$$

rate of interest (R) = $$20 \ \%$$

time period (T) = $$2$$ years, $$SI = \frac{P \ R \ T}{100}$$ $$= \frac{5000 \times 20 \times 2}{100}$$ $$SI = Rs.2000$$ total amount after maturity period, $$A = P + SI$$ $$= 5000 + 2000$$ $$= Rs.7000$$

1. A man deposited $$Rs.10,000$$ in a bank and after maturity period the man got the total amount $$Rs.12,000$$, then find the interest amount on the principal?

1. $$Rs.1000$$
2. $$Rs.2000$$
3. $$Rs.3000$$
4. $$Rs.4000$$

Answer: (b) $$Rs.2000$$

Solution: Given, principal amount (P) = $$Rs.10,000$$

total amount (A) = $$Rs.12,000$$, then $$SI = A - P$$ $$SI = 12,000 - 10,000$$ $$SI = Rs.2000$$