Quantitative Aptitude • Simple & Compound InterestMedium
A sum of ₹14,000 becomes ₹22,400 in 5 years at simple interest. What is the rate of interest per year?
A. 14%
B. 7.5%
C. 12%✓ Correct Answer
D. 60%
💡 Solution & Explanation
Interest = amount − principal = ₹22,400 − ₹14,000 = ₹8,400. Rate = interest × 100 ÷ (principal × time) = 8,400 × 100 ÷ (14,000 × 5) = 12%. Check: 12% of ₹14,000 is ₹1,680 per year, and 5 years of that is ₹8,400.
More Quantitative Aptitude Simple & Compound Interest questions
- A sum of money amounts to ₹540 in 2 years and to ₹648 in 3 years at compound interest. What is the rate of…
- What will ₹4,325 amount to in 2 years at 20% per year compound interest, compounded annually?
- What is the compound interest on ₹18,600 for 2 years at 10% per year, compounded annually?
- A sum of money amounts to ₹8,820 in 2 years and to ₹9,261 in 3 years at compound interest. What is the rate…
- What is the compound interest on ₹4,250 for 2 years at 20% per year, compounded annually?