QUESTION 1Loan Repayment with Equal Instalments
Rohit takes a three-month loan of Rs. 1000 from a finance company. The lender charges 10%interest per month, compounded monthly. As per the agreement, Rohit must repay the loan through three equal monthly instalments. To the nearest rupee, how much should he pay every month?
QUESTION 2Growth and Depreciation
On Monday, an entrepreneur invested Rs. \(p\) in a startup venture. For a certain number of days, the value of the investment increased by \(r%\) per day. Immediately after this period of continuous growth, the value of the investment fell by Rs. \(q\) on the next day. The entrepreneur then exited the investment at the end of that day for Rs. \(v\), which was its value at that time. If \(r = 100\left(\sqrt{\frac{v+q}{p}}-1\right)\), after how many working days from the date of investment was the investment sold?
QUESTION 3Comparison of Simple and Compound Interest
Aman invested one-half of his savings in a scheme that earned simple interest for 2 years and received Rs. 550 as interest. He invested the remaining half in another scheme that earned compound interest (compounded annually) for the same 2 years at the same rate of interest and received Rs. 605 as interest. What was the annual rate of interest?
QUESTION 4Simple Interest Amount
Rohan deposited a certain sum of money in a post office scheme that offered simple interest. The total amount accumulated to Rs. 240 at the end of 2 years. He left the money untouched for another 3 years and received a final amount of Rs. 300. What was the principal amount that he deposited initially?
QUESTION 5Half-Yearly Compounding
Jayesh invests his savings of Rs. 120,000 by dividing it between two interest-earning fixed deposit accounts. He puts \(\frac{3}{4}\) of his savings in an account that earns lower interest and \(\frac{1}{4}\) of his savings in an account that earns higher interest. He has no other interest-earning investments and makes Rs. 3,636. in total interest by the end of the year. If one account earns 2\% annual interest and both accounts are compounded semiannually, what percent annual interest does the other account earn?
QUESTION 6Compound Interest
Amitav invests Rs. 2,000 at an annual interest rate of r% compounded quarterly for 9 years. At the end of 9 years, the total amount in his account grows to Rs. 16,000. What is the value of r?
QUESTION 7Difference between CI and SI
Kabir invested one-half of his festival bonus in a financial scheme that paid simple interest for 2 years and received Rs. 550 as interest. He invested the remaining half of his bonus in another scheme that paid compound interest, with interest being compounded annually, for the same 2 years at the same annual rate of interest, and received Rs. 605 as interest. What was the total amount of Kabir's festival bonus before making these two investments?
QUESTION 8Principal amount
An investor finds that the difference between the compound interest, compounded annually, and the simple interest on a certain principal amount at 11% per annum for a period of 3 years is Rs. 37,631. Find the principal amount invested.
QUESTION 9Rate Calculation
Varun invested Rs. 5,000 for two years at a simple annual interest rate of x% and invested Rs. 3,000 for two years at an annual interest rate of 8% compounded quarterly. If after 2 years both investments earned the same amount in interest, what is the approximate value of x?
QUESTION 10Simple Interest Growth
A startup founder invested a certain amount in a business project at simple interest. The investment became three times its original value in 8 years. After how many times the original amount will the investment be worth at the end of 20 years?
QUESTION 11Partition of Principal
A businessman invested a total of Rs. \(38,800\) in two different lending schemes. One part was lent at \(6%\) simple interest per six months, while the remaining amount was lent at \(5%\) simple interest per annum exactly one year later. After a total of \(3\) years from the date the first amount was lent, the ratio of the interests earned from the two investments was \(5:4\). What was the amount invested in the second scheme at \(5%\) per annum?
QUESTION 12Distribution of Principal
A total amount of Rs. \(5000\) is divided into two investments, \(A\) and \(B\). The simple interest earned on \(A\) for \(2\) years at \(20%\) per annum is equal to the simple interest earned on \(B\) for \(3\) years at the same rate. Which of the following statements is false?
QUESTION 13Periodic Withdrawal
An investor deposits Rs. P in a long-term investment plan that offers compound interest at the rate of 25% per annum. At the end of every 2 years, the investor withdraws 36% of the accumulated amount, and the remaining amount continues in the scheme. What will be the principal amount available at the beginning of the 23^{rd} year?
QUESTION 14Simple Interest with Bonus
A financial institution offers simple interest at the rate of 16% per annum on deposits. However, if the deposited amount is not withdrawn for 5 years, the investor receives an additional bonus equal to one-fourth of the total interest earned during those 5 years. An investor deposits Rs. P and withdraws an amount equal to Rs. P at the end of every 5 years. What is the total interest earned over a period of 50 years?
QUESTION 15Mixed Simple and Compound Interest
An investor deposits Rs. \(2,00,000\) in a special savings plan for \(7\) years at a constant interest rate of \(2%\) per annum. Under the scheme, simple interest is applied for the initial years, while compound interest is applied for the remaining period on the accumulated amount. If only the last \(2\) years are governed by compound interest, what is the total interest earned at the end of \(7\) years?
QUESTION 16Variable Rate and Time Relationship
Rohan lent Rs. 900 to a friend at a simple interest rate that was numerically equal to the square root of the number of months for which the money was lent. At the end of the lending period, the interest earned amounted to Rs. 48. Instead of collecting this interest, Rohan proposed a new arrangement. He asked his friend to borrow a fresh amount at the same rate of interest for a number of years equal to the square root of the rate percentage. What should be the fresh amount so that both parties remain financially indifferent between the two arrangements?
QUESTION 17Comparison of Simple and Compound Interest
An investor places an equal amount of money in two different investment plans for 3 years. Plan A offers compound interest at the rate of 10% per annum for all three years. Plan B offers simple interest at the rate of 10% per annum for the first 2 years. For the third year, the rate of simple interest changes to R% per annum. If both investments yield the same maturity amount at the end of 3 years, find the value of R.
QUESTION 18Comparison of Investment Schemes
An investor is evaluating the following two investment offers: Offer A: Invest a sum at \(1%\) compound interest per annum, compounded annually, for \(100\) years. Offer B: Invest the same sum at \(100%\) compound interest per annum, compounded annually, for \(1\) year. Which of the following offers provides a higher return on the investment?
QUESTION 19Loan and Reinvestment
Karan borrowed Rs. \(24,000\) from a local finance company at \(5%\) simple interest per annum. Immediately after receiving the funds, he invested one-third of the amount in a short-term business venture that yielded \(4%\) compound interest per annum for \(2\) years and lent the remaining amount to a trader at \(8%\) simple interest per annum for \(2\) years. Both investments matured at the end of \(2\) years, and Karan used the proceeds to settle his loan immediately. How much profit did Karan earn from the entire transaction?
QUESTION 20Investment in Multiple Schemes
A business owner invested a total of Rs. \(1,50,000\) in two fixed-income investment plans in the ratio \(2:1\). Both plans offered annual compound interest rates that were whole numbers. One plan offered \(20%\) per annum, while the other offered \(R%\) per annum. At the end of \(2\) years, the total interest earned from both investments was Rs. \(39,300\). What is the value of \(R\)?
QUESTION 21Investment in Multiple Schemes
A finance consultant advised an investor to divide a total investment of Rs. \(1,00,000\) between two different investment plans. Plan A offered a return of \(10%\) per annum compounded annually. Plan B offered a return of \(20%\) per annum compounded half-yearly. At the end of \(2\) years, the combined maturity amount from both plans was Rs. \(1,36,246\). How much money was invested in Plan A?
QUESTION 22Successive Growth and Withdrawal
A trader operates an informal lending business and earns a return of \(50%\) per year on the capital invested. At the end of every year, he sets aside \(20%\) of his total capital as administrative expenses, and the remaining amount becomes the capital for the next year. If the capital available at the beginning of the \(4^{th}\) year is Rs. \(25,000\), how much money was set aside as administrative expenses at the end of the \(2^{nd}\) year?
QUESTION 23Comparison of Investment Schemes
Two friends invest money in the same savings scheme. Rohit invests Rs. \(22,000\) for \(6\) years at an interest rate of \(4%\) per annum compounded half-yearly. Meanwhile, Mohit invests a certain amount in the same scheme for \(5\) years. At the end of the \(5^{th}\) year, he withdraws the maturity amount and reinvests the entire sum for \(1\) more year at \(10%\) simple interest. If both friends receive the same amount at the end of \(6\) years, what was Mohit's initial investment?
QUESTION 24Comparison of Simple and Compound Interest
A depositor invests Rs. \(P\) in a bank at \(R%\) compound interest per annum. After \(20\) years, the investment grows to Rs. \(16P\). If the same amount had instead been invested at the same rate \(R%\) under simple interest for \(20\) years, what would have been the final amount?
QUESTION 25Finding Principal from Accumulated Interest
At the beginning of 2004, an investor deposited a certain amount in a fixed deposit account offering compound interest compounded annually at a constant rate. At the beginning of 2007, the total interest earned on the deposit was Rs. \(10,000\). At the beginning of 2010, the total interest earned since the initial investment became Rs. \(25,000\). What was the original principal invested?