# Simple Interest and Compound Interest Questions for IBPS RRB Prelims Exam: 13th July 2018

**Dear students,**

**Numerical Ability or Quantitative Aptitude**Section has given

**heebie-jeebies**to the aspirants when they appear for a banking examination. As the level of every other section is only getting complex and convoluted, there is no doubt that this section, too, makes your blood run cold. The questions asked in this section are calculative and very time-consuming. But once dealt with proper strategy, speed, and accuracy, this section can get you the maximum marks in the examination. Following is the

**Quantitative Aptitude quiz**to help you practice with the best of latest pattern questions.

**Q1. What sum of money will amount to Rs. 520 in 5 years and Rs. 568 in 7 years at simple interest?**

(a)Rs 300

(b)Rs 350

(c)Rs 400

(d)Rs 450

(e)Rs 650

**Q2. If Rs. 12000 is lent at 10% p.a. (compound interest) compounded half yearly for one year. What is the equivalent simple rate of interest for 1 year for same interest?**

(a) 10.25% p.a

(b) 9.24% p.a

(c) 6.26% p.a

(d) 8.42% p.a

(e) 12.25% p.a

**Q3. C.I. and S.I. for a certain sum at certain rate of interest for 2 years are Rs. 220 and Rs. 200. Find the principal amount.**

(a) Rs. 2200

(b) Rs. 200

(c) Rs. 500

(d) Rs. 2000

(e) Rs. 2400

**Q4. A gave some amount at simple rate of interest of 10% p.a to B for 3 years and B gave this amount to C at the rate of 20% p.a for 3 years. If the income of B was Rs. 1560 after 3 years, what amount A had given to B?**

(a) Rs. 6200

(b) Rs. 5400

(c) Rs. 5200

(d) Rs. 5600

(e) Rs. 4800

**Q5. The simple interest charged on an amount of Rs. 22,500 at the end of four years is Rs. 10,800. What will be the compound interest on the same amount at the same rate at the end of two years?**

(a) Rs. 14,908

(b) Rs. 5,724

(c) Rs. 26,234

(d) Rs. 8,568

(e) Rs. 9,656

**Solutions (1-5):**

**Q6. A sum of Rs. 7,700 is to be divided among three sisters Vidusha, Vimla and Vaishnavi in such a way that simple interest on each part at 5% per annum after 1, 2 and 3 years, respectively remains equal. The share of Vidusha is more than that of Vaishnavi by:**

(a) Rs. 2,800

(b) Rs. 2,500

(c) Rs. 3,000

(d) Rs. 2,400

(e) Rs. 3,200

**Q7. A sum of Rs. 91,000 is borrowed at 20% per annum compounded annually for two years. If it were borrowed at the rate of 100/7% per annum simple interest for four years then, find the difference between C.I and S.I**

(a) Rs. 16,910

(b) Rs. 12,800

(c) Rs. 12,960

(d) Rs. 11,960

(e) None of these

**Q8. A sum of money is accumulated at compound interest at a certain rate of interest. If simple interest instead of compound interest were reckoned, the interest for the first two years would be diminished by Rs. 20 and that for the first three years by Rs. 61. Find the sum.**

(a) Rs. 7000

(b) Rs. 8000

(c) Rs. 7500

(d) Rs. 6500

(e) Rs. 5400

**Q9. A person takes a loan of Rs. 200 at 5% p.a compound interest. He returns Rs. 100 at the end of one year. How much amount he would require to pay at the end of 2nd year in order to clear his dues.**

(a) Rs.125.50

(b) Rs.110

(c) Rs.115.50

(d) Rs.115

(e) Rs.120

**Q10. Find the difference between simple and compound interest on Rs. 6000 for 1 year at 20% per but interest is calculated on half yearly basis.**

(a) Rs.120

(b) Rs.60

(c) Rs.180

(d) Rs.72

(e) Rs.108

**Solutions (6-10):**

**Q11. The simple interest on certain sum at 5% p.a for 9 months is Rs. 10 greater than the simple interest on the same sum @ 3% p.a for 14 months. What is the sum of interest in both the cases (i.e., total sum of interest)?**

(a) Rs. 130

(b) Rs. 290

(c) Rs. 120

(d) Rs. 330

(e) Rs. 430

**Q12. Mr. Lala Ram has lent some money to Aaju at 6% p.a. and to Baaju at 8% p.a. At the end of the year he has gained the overall interest at 7% per annum. In what ratio has he lent money to Aaju and Baaju?**

(a) 2 : 3

(b) 1 : 1

(c) 5 : 6

(d) 4 : 3

(e) 5: 7

**Q13. Hari Lal and Hari Prasad have equal amounts. Hari Lal invested all his amount at 10% p.a compounded annually for 2 years and Hari Prasad invested 1/4th amount at 10% p.a compound interest (annually) and rest at r% per annum at simple interest for the same 2 years period. The amount received by both at the end of 2 year is same. What is the value of r?**

(a) 14%

(b) 12.5%

(c) 10.5%

(d) 11%

(e) 8.5%

**Q14. HDFC lends 1 million to HUDCO at 10% simple interest p.a. for 3 years and HUDCO lends the same amount to SAHARA STATES HOUSING Corporation at 10% p.a. on compound interest for 3 years. What is the earning of HUDCO in this process?**

(a) Rs. 1,33,100

(b) Rs. 33,100

(c) Rs. 31,000

(d) Rs. 15,000

(e) None of these

**Q15. A sum at r% p.a compound interest doubles in 3 years. In 9 years it will be k times of the original principal. What is the value of k?**

(a) 10

(b) 9

(c) 6

(d) 8

(e) 12

**Solutions (11-15):**