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  COMPOUND INTEREST

1. Kiran earns an interest of Rs. 400 over 2 years on a simple interest basis and Rs. 420 at the same interest rate on a compound interest basis. What is the compound interest for 2nd year?

1) 250

2) 230

 3) 200

 4) 220

 5) 225

2. Kartika buys a second-hand Scotty for Rs. 50000. The value of the Scooty depreciates at a rate of R% every year. If the Scotty was sold at a price of Rs. 45125 after two years then, find the value of R.

1) 15

2) 2

3) 10

 4) 5

 5) 3

3. The compound interest on `2000 in 2 years if the rate of interest is 4% per annum for the first year and 3% per annum for the second year will be

 1) 140.40

 2) 142.40

 3) 143.40

 4) 141.40

5) 153.40

 4. A sum of Rs. 3,200 invested at 10% p.a. compounded quarterly amounts to Rs. 3,362. Compute the time period.

 1) 0.5year

 2) 2.5 years

 3) 2 years

4) 3.4 year

5) 1 year

5. How much will be the compound interest to be paid on a principle amount of Rs.85, 000 after 3 years at the rate of 6 p.c.p.a.?

 1) Rs. 16626.36

 2) Rs. 16236.36

 3) Rs. 16323.36

 4) Rs. 16632.26

 5) Rs. 16623

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