Compound interest is an important for competitive examinations point of view. I am analyzing question papers of various examinations from past many years. I found that few questions are repeating in every exam. Today I am sharing 8 questions that are repeated in almost all the exams.

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## Ques 1.

If Inflation increases at a rate of 8 p.c.p.a What will a Rs.20 article cost at the end of two years ?

(a) between Rs,20 and Rs.21

(b) between Rs.21 and Rs.22

(c) between Rs.22 and Rs.23

(d) between Rs.23 and Rs.24

**Ans 1.**.(d) Required sum =

Ans 2.## Ques 2.

What sum invested for 2 years at 12% compounded annually will glow to Rs.4390.40?

(a) Rs.4000

(b) Rs.3500

(c) Rs.3800

(d) Rs.3875

## Ques 3.

What sum of money will become Rs.1352 in 2 years at 4 percent per annul compound interest ?

(a) Rs.1200

(b) Rs.1225

(c) Rs.1250

(d) Rs.1300

**Ans 3.**## Ques 4.

What sum lent at 5%per annul compound interest will amount to Rs. 441 in 2 years?

(a) Rs. 390

(b) Rs. 395

(c) Rs.400

(d) Rs.405

**Ans 4.**## Ques 5.

The principal that amount to Rs.4913 in 3 years at per annul compound interest compounded annually is

(a) Rs.4096

(b) Rs.4085

(c) Rs.4076

(d) Rs.3096

**Ans 5.**

## Ques 6.

If the total amount interest earned after 2 years at the rate of 12%per annual is Rs.228.96, then the principal amount is

(a) 1,200

(b) 1,100

(c) 1,000

(d) 900

**Ans 6.**Let P be the principal

## Ques 7.

If a sum of Rs.1000 deposited at compound interest double afteer 4 years .After 20 years, it will become

(a) Rs.20,000

(b) Rs 24,000

(c) Rs.28,000

(d) Rs.32,000

**Ans 7**. = ( d )## Ques 8.

If Raja paid total amount of Rs.324.48 after 2 years with compound interest at 4% per annul,then the principal amounts taken by Raja must be

(a) Rs.300

(b) Rs.320

(c) Rs.310

(d) Rs.316

**Ans 8.**= ( a )

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