Download Top-20 IBPS RRB Clerk Simple And Compound Questions PDF. Simple And Compound questions based on asked questions in previous year exam papers very important for the IBPS RRB Assistant exam<\/p>\n
Download Simple & Compound Interest Questions For IBPS RRB Clerk<\/a><\/p>\n 35 IBPS RRB Clerk Mocks @ Rs. 149<\/a><\/p>\n 70 IBPS RRB (PO + Clerk) Mocks @ Rs. 199<\/a><\/p>\n Take a free mock test for IBPS RRB Clerk<\/a><\/p>\n Download IBPS RRB Clerk Previous Papers PDF<\/a><\/p>\n Instructions<\/b><\/p>\n Calculate the quantity I and the quantity II on the basis of the given information then compare them and answer the following questions accordingly.<\/strong><\/p>\n Question 1:\u00a0<\/b>Quantity 1: Simple interest charged by a bank on a sum of Rs. 1000 at the rate of 22% annum for 2 years. a)\u00a0Quantity 1 > Quantity 2<\/p>\n b)\u00a0Quantity 1 $\\geq$ Quantity 2<\/p>\n c)\u00a0Quantity 1 < Quantity 2<\/p>\n d)\u00a0Quantity 1 $\\leq$ Quantity 2<\/p>\n e)\u00a0Quantity 1 = Quantity 2<\/p>\n Question 2:\u00a0<\/b>If the difference in compound interest and simple interest at 20% per annum in two years for certain sum is 80. Then find the difference in the compound and simple interest on the same sum at 10% annum after 3 years?<\/p>\n a)\u00a060<\/p>\n b)\u00a068<\/p>\n c)\u00a075<\/p>\n d)\u00a062<\/p>\n e)\u00a055<\/p>\n Question 3:\u00a0<\/b>The difference between the compound interest and simple interest on a sum for a period of 3 years at 20% per annum is Rs. 256. What is the principal amount?<\/p>\n a)\u00a03000<\/p>\n b)\u00a02000<\/p>\n c)\u00a04000<\/p>\n d)\u00a05000<\/p>\n e)\u00a0None of these<\/p>\n Question 4:\u00a0<\/b>Mahesh borrows a certain sum from a moneylender at 10% p.a. simple interest. He lends the amount at 10% p.a. compound interest for a period of 3 years. He earns Rs.527 in the process. How much did Mahesh owe the moneylender by the end of 3 years?<\/p>\n a)\u00a0Rs.17,000<\/p>\n b)\u00a0Rs.18,000<\/p>\n c)\u00a0Rs.22,100<\/p>\n d)\u00a0Rs.21,000<\/p>\n e)\u00a0Rs.34,000<\/p>\n Question 5:\u00a0<\/b>The difference between the compound interest and simple interest on a sum for a period of 2 years at 13% per annum is Rs. 2197. What is the principal?<\/p>\n a)\u00a0Rs.2,60,000<\/p>\n b)\u00a0Rs.75,000<\/p>\n c)\u00a0Rs.1,50,000<\/p>\n d)\u00a0Rs.1,30,000<\/p>\n e)\u00a0Rs.1,19,000<\/p>\n Question 6:\u00a0<\/b>Daniel borrowed a certain sum at simple interest at some rate and lent it at the same rate but charged compound interest. He lent the amount for a period of 2 years. If the rate of interest is 10%, what is Daniel’s profit as a percentage of the total amount he has to repay (simple interest)?<\/p>\n a)\u00a01%<\/p>\n b)\u00a010%<\/p>\n c)\u00a00.833%<\/p>\n d)\u00a08.33%<\/p>\n e)\u00a00.5%<\/p>\n Question 7:\u00a0<\/b>If the rate of return increases by 2%, the simple interest received on a certain principal increases by Rs.20 . If the time period increases by 2 years, the simple interest on the same sum increases by Rs. 100. What is the interest for 1 year?<\/p>\n a)\u00a0400<\/p>\n b)\u00a0200<\/p>\n c)\u00a01000<\/p>\n d)\u00a050<\/p>\n e)\u00a0100<\/p>\n Question 8:\u00a0<\/b>A bank offers a simple interest of 10% p.a on a sum of 15000 for two years. What is the difference in interests, if the bank offered compound interest instead?<\/p>\n a)\u00a0200<\/p>\n b)\u00a0150<\/p>\n c)\u00a0300<\/p>\n d)\u00a02000<\/p>\n e)\u00a0350<\/p>\n Question 9:\u00a0<\/b>Amit deposited a certain sum in a bank which offers a simple interest of 10 % semi annually. At the end of 2 years, he got the final amount as Rupees x. If he had deposited the same amount in another bank which was offering a simple interest at the rate of 16 % per annum then the final amount would have been Rupees 960 less. Find the amount invested by him in the bank.<\/p>\n a)\u00a015000<\/p>\n b)\u00a018000<\/p>\n c)\u00a012000<\/p>\n d)\u00a010000<\/p>\n e)\u00a09000<\/p>\n Question 10:\u00a0<\/b>What will be the difference between the simple and compound interests on a sum of Rs. 7000 at 10% p.a. for 2 years compounded annually?<\/p>\n a)\u00a0Rs. 60<\/p>\n b)\u00a0Rs. 70<\/p>\n c)\u00a0Rs. 80<\/p>\n d)\u00a0Rs. 90<\/p>\n e)\u00a0Rs. 100<\/p>\n Free Mock Test for IBPS RRB Clerk<\/a><\/p>\n IBPS RRB Clerk Previous Papers<\/a><\/p>\n Question 11:\u00a0<\/b>Compound interest on a certain sum for 3 years is Rs 2880 and for 4 years it is Rs 3456. What is the value of sum taken ?<\/p>\n a)\u00a0Rs 5000<\/p>\n b)\u00a0Rs10000<\/p>\n c)\u00a0Rs 8000<\/p>\n d)\u00a0Rs 9000<\/p>\n e)\u00a0Rs 7000<\/p>\n Instructions<\/b><\/p>\n Calculate the quantity I and the quantity II on the basis of the given information then compare them and answer the following questions accordingly.<\/strong><\/p>\n Question 12:\u00a0<\/b>Quantity 1: Simple interest charged by a bank on a sum of Rs. 1000 at the rate of 22% annum for 2 years. a)\u00a0Quantity 1 > Quantity 2<\/p>\n b)\u00a0Quantity 1 $\\geq$ Quantity 2<\/p>\n c)\u00a0Quantity 1 < Quantity 2<\/p>\n d)\u00a0Quantity 1 $\\leq$ Quantity 2<\/p>\n e)\u00a0Quantity 1 = Quantity 2<\/p>\n Question 13:\u00a0<\/b>If the difference in compound interest and simple interest at 20% per annum in two years for certain sum is 80. Then find the difference in the compound and simple interest on the same sum at 10% annum after 3 years?<\/p>\n a)\u00a060<\/p>\n b)\u00a068<\/p>\n c)\u00a075<\/p>\n d)\u00a062<\/p>\n e)\u00a055<\/p>\n Question 14:\u00a0<\/b>The difference between the compound interest and simple interest on a sum for a period of 3 years at 20% per annum is Rs. 256. What is the principal amount?<\/p>\n a)\u00a03000<\/p>\n b)\u00a02000<\/p>\n c)\u00a04000<\/p>\n d)\u00a05000<\/p>\n e)\u00a0None of these<\/p>\n Question 15:\u00a0<\/b>Krishna borrows Rs. 10,000 from a bank at 10% per annum compounded annually. He returned the sum in 2 equal installments at the end of first year and second year. Find out the amount he paid in each installment?<\/p>\n a)\u00a05500<\/p>\n b)\u00a05671.90<\/p>\n c)\u00a06000<\/p>\n d)\u00a05761.90<\/p>\n e)\u00a05840.90<\/p>\n Question 16:\u00a0<\/b>Rohit borrowed a certain sum from a bank at 10% per annum compounded annually. He invested this amount in mutual funds. After two years, he got 30% return on his investment. If he is left with Rs. 900 after clearing bank\u2019s dues. Figure out the amount that Rohit borrowed from the bank?<\/p>\n a)\u00a015000<\/p>\n b)\u00a020000<\/p>\n c)\u00a010000<\/p>\n d)\u00a0100000<\/p>\n e)\u00a0None of the above.<\/p>\n Question 17:\u00a0<\/b>Mahesh borrows a certain sum from a moneylender at 10% p.a. simple interest. He lends the amount at 10% p.a. compound interest for a period of 3 years. He earns Rs.527 in the process. How much did Mahesh owe the moneylender by the end of 3 years?<\/p>\n a)\u00a0Rs.17,000<\/p>\n b)\u00a0Rs.18,000<\/p>\n c)\u00a0Rs.22,100<\/p>\n d)\u00a0Rs.21,000<\/p>\n e)\u00a0Rs.34,000<\/p>\n Question 18:\u00a0<\/b>The difference between the compound interest and simple interest on a sum for a period of 2 years at 13% per annum is Rs. 2197. What is the principal?<\/p>\n a)\u00a0Rs.2,60,000<\/p>\n b)\u00a0Rs.75,000<\/p>\n c)\u00a0Rs.1,50,000<\/p>\n d)\u00a0Rs.1,30,000<\/p>\n e)\u00a0Rs.1,19,000<\/p>\n Question 19:\u00a0<\/b>Ram borrows Rs. 50,000 from Arun compounded half yearly at 20% per annum. The interest for a period of 2 years will be<\/p>\n a)\u00a0Rs. 22,000<\/p>\n b)\u00a0Rs. 73,205<\/p>\n c)\u00a0Rs. 23,205<\/p>\n d)\u00a0Rs. 22,205<\/p>\n e)\u00a0Rs. 72,205<\/p>\n Question 20:\u00a0<\/b>Daniel borrowed a certain sum at simple interest at some rate and lent it at the same rate but charged compound interest. He lent the amount for a period of 2 years. If the rate of interest is 10%, what is Daniel’s profit as a percentage of the total amount he has to repay (simple interest)?<\/p>\n a)\u00a01%<\/p>\n b)\u00a010%<\/p>\n c)\u00a00.833%<\/p>\n d)\u00a08.33%<\/p>\n e)\u00a00.5%<\/p>\n Quantitative Aptitude formulas PDF<\/a><\/p>\n 520 Banking Mocks – Just Rs. 499<\/a><\/p>\n Answers & Solutions:<\/strong><\/span><\/p>\n 1)\u00a0Answer\u00a0(E)<\/strong><\/p>\n Simple interest paid to bank = 1000*.22*2 = Rs. 440 2)\u00a0Answer\u00a0(D)<\/strong><\/p>\n Let us assume \u2018P\u2019 is the principal which is borrowed. Difference between compound and simple interest = 0.44P – 0.4P = 0.04P Simple interest accrued in 3 years at 10% per annum = $\\frac{2000 * 10 * 3}{100}$ = 600 So the difference in C.I. and S.I. at 10% annum after 3 years = 662-600 = 62<\/p>\n 3)\u00a0Answer\u00a0(B)<\/strong><\/p>\n Let assume the principal amount = X Difference between compound and simple interest = 0.728X – 0.6X = 0.128X 4)\u00a0Answer\u00a0(C)<\/strong><\/p>\n Amount by the end of 3 years in compound interest = $p(1+r)^n$ 5)\u00a0Answer\u00a0(D)<\/strong><\/p>\n Difference between compound and simple interests for a period of 2 years = $\\frac{pr^2}$. 6)\u00a0Answer\u00a0(C)<\/strong><\/p>\n Let $p$ be the principal. Time period = 2 years. Let $r$ be the rate of interest. We know that rate of interest = $10$%. 7)\u00a0Answer\u00a0(D)<\/strong><\/p>\n Let,<\/p>\n i = prt\/100<\/p>\n Given, or pr = 5000<\/p>\n We know that the interest for 1st year = p * r * 1\/100 = 5000\/100 = 50<\/p>\n 8)\u00a0Answer\u00a0(B)<\/strong><\/p>\n SI = PRT\/100<\/p>\n SI = 15000 * 2 * 0.1 = 3000<\/p>\n In CI, A = 15000 * 1.21<\/p>\n CI = 15000 * .21 = 3150<\/p>\n Difference = 150<\/p>\n 9)\u00a0Answer\u00a0(C)<\/strong><\/p>\n Let the initial amount deposited by him be \u2018P\u2019. Hence, the interest earned on it in first case will be 10)\u00a0Answer\u00a0(B)<\/strong><\/p>\n Difference between the interests = Amount due to CI – Amount due to SI<\/p>\n Amount due to CI = $p(1+\\frac{r}{100})^n$ = $p(1.1)^2$ Amount due to SI = $p + \\frac{pnr}{100}$ Difference between the interests = Rs. $8470$ – Rs.$8400$ Hence, option B is the right answer.<\/p>\n 11)\u00a0Answer\u00a0(B)<\/strong><\/p>\n Let R%=r 12)\u00a0Answer\u00a0(E)<\/strong><\/p>\n Simple interest paid to bank = 1000*.22*2 = Rs. 440 13)\u00a0Answer\u00a0(D)<\/strong><\/p>\n Let us assume \u2018P\u2019 is the principal which is borrowed. Difference between compound and simple interest = 0.44P – 0.4P = 0.04P Simple interest accrued in 3 years at 10% per annum = $\\frac{2000 * 10 * 3}{100}$ = 600 So the difference in C.I. and S.I. at 10% annum after 3 years = 662-600 = 62<\/p>\n 14)\u00a0Answer\u00a0(B)<\/strong><\/p>\n Let assume the principal amount = X Difference between compound and simple interest = 0.728X – 0.6X = 0.128X 15)\u00a0Answer\u00a0(D)<\/strong><\/p>\n Let us assume Krishna paid x rupees in each instalment then at the end of first year Taking second year into consideration Hence we can say that Krishna paid 5761.90 rupees in each instalment.<\/p>\n 16)\u00a0Answer\u00a0(C)<\/strong><\/p>\n Let assume Rohit borrowed amount X from the bank. The amount that Rohit owed to bank = $X * (1+\\frac{10}{100})^{2}$ So, Rohit\u2019s net profit in this entire transaction = 1.30X-1.21X = 0.09X<\/p>\n $\\therefore$ 0.09X = 900 Hence, we can say that Rohit borrowed Rs. 10000 from the bank.<\/p>\n 17)\u00a0Answer\u00a0(C)<\/strong><\/p>\n Amount by the end of 3 years in compound interest = $p(1+r)^n$ 18)\u00a0Answer\u00a0(D)<\/strong><\/p>\n Difference between compound and simple interests for a period of 2 years = $\\frac{pr^2}$. 19)\u00a0Answer\u00a0(C)<\/strong><\/p>\n The amount has been borrowed at 20% p.a. and is compounded every half year. Interest = Rs. $73,205$ – Rs. $50,000$. 20)\u00a0Answer\u00a0(C)<\/strong><\/p>\n Let $p$ be the principal. Time period = 2 years. Let $r$ be the rate of interest. We know that rate of interest = $10$%.
\nQuantity 2: Compound interest charged by another bank on a sum of Rs. 1000 at the rate of 20% annum for 2 years compounded annually.<\/p>\n
\nQuantity 2: Compound interest charged by another bank on a sum of Rs. 1000 at the rate of 20% annum for 2 years compounded annually.<\/p>\n
\nCompound interest paid to bank = $1000(1 + \\dfrac{20}{100})^2 – 1000$ = Rs. 440
\nHence, we can say that Quantity 1 = Quantity 2. Option E is the correct answer.<\/p>\n
\nSimple interest accrued in 2 years = $\\frac{P * 20 * 2}{100}$ = 0.4P
\nCompound interest accrued in 2 years = P *$(1 + \\frac{20}{100} )^{2}$ – P = 0.44P<\/p>\n
\n$\\Rightarrow$ 80 = 0.04 P
\n$\\Rightarrow$ P = 2000<\/p>\n
\nCompound interest accrued in 3 years at 10% per annum = 2000 *$(1 + \\frac{10}{100} )^{3}$ – 2000 = 662<\/p>\n
\nSimple interest for 3 years = $\\frac{Principal*Rate*Time}{100}$ = $\\frac{X*20*3}{100}$ = 0.6X
\nCompound interest payable for 3 years = X*$(1+\\frac{20}{100})^{3}$-X = 0.728X<\/p>\n
\n$\\Rightarrow$ 0.128X = 256
\n$\\therefore$ X = 2000 (ans)<\/p>\n
\n=> Amount received by Mahesh = $p*1.1^3$
\nAmount received by Mahesh = $1.331p$
\nAmount Mahesh owes = $p+pnr$ = $p+p*3*0.1$ = $1.3p$.
\nProfit = $1.331p – 1.3p = 0.031p$
\nIt has been given that $0.031p = 527$
\n=> $p = Rs. 17000$.
\nAmount that Mahesh will owe = $1.3*17000 = 22100$
\nTherefore, option C is the right answer.<\/p>\n
\nTherefore, $p*0.13*0.13= 2197$
\n$p = 2197\/0.0169$
\n$p = $ Rs. $1,30,000$.
\nTherefore, option D is the right answer.<\/p>\n
\nAmount Daniel will owe by the end of 2 years = $p + 2pr$
\nAmount Daniel will receive by the end of 2 years = $p(1+r)^2$
\n= $p (1+r^2 + 2r)$
\n=$p + pr^2 + 2pr$.
\nProfit realized by Daniel = $p + pr^2 + 2pr -p – 2pr$.
\n=> Profit = $pr^2$
\nProfit percentage = $\\frac{pr^2}{p+2pr}$
\n=$\\frac{r^2}{1+2r}$<\/p>\n
\n=> Profit percentage = $\\frac{0.01}{1.2}$ = $0.833$%.
\nTherefore, option C is the right answer.<\/p>\n
\ni + 20 = p * (r+2) * t \/100<\/p>\n
\n$A = p(1 + (r\/100))^2$<\/p>\n
\nP*10*4\/100 = .4P ( The interest is calculated semi annually. Hence, there are 4 time periods).
\nIn second case, the interest earned will be
\nP*16*2\/100 = .32P
\nWe have been given that
\n.4P – .32P = .08P
\nWe have been given that
\n.08P = 960
\n=> P = 12000
\nThus, option C is the correct answer.<\/p>\n
\n= $7000 * 1.21$
\n= Rs. $8470$<\/p>\n
\n= $7000 + \\frac{7000*10*2}{100}$
\n= $7000 + 1400$
\n= Rs. $8400$.<\/p>\n
\n= Rs. $70$<\/p>\n
\nGiven $ Pr(1+r)^{2}$=2880
\n$ Pr(1+r)^{3}$=3456
\nDividing both the equations we have
\n1\/(1+r)=5\/6
\n6=5+5r
\nr=1\/5
\nR=(1\/5)*100
\nR=20%
\nTherefore $P(1\/5)(1+(1\/5))^{2}$=2880
\nP(36\/125)=2880
\nP=2880*125\/36
\nP=Rs 10000<\/p>\n
\nCompound interest paid to bank = $1000(1 + \\dfrac{20}{100})^2 – 1000$ = Rs. 440
\nHence, we can say that Quantity 1 = Quantity 2. Option E is the correct answer.<\/p>\n
\nSimple interest accrued in 2 years = $\\frac{P * 20 * 2}{100}$ = 0.4P
\nCompound interest accrued in 2 years = P *$(1 + \\frac{20}{100} )^{2}$ – P = 0.44P<\/p>\n
\n$\\Rightarrow$ 80 = 0.04 P
\n$\\Rightarrow$ P = 2000<\/p>\n
\nCompound interest accrued in 3 years at 10% per annum = 2000 *$(1 + \\frac{10}{100} )^{3}$ – 2000 = 662<\/p>\n
\nSimple interest for 3 years = $\\frac{Principal*Rate*Time}{100}$ = $\\frac{X*20*3}{100}$ = 0.6X
\nCompound interest payable for 3 years = X*$(1+\\frac{20}{100})^{3}$-X = 0.728X<\/p>\n
\n$\\Rightarrow$ 0.128X = 256
\n$\\therefore$ X = 2000 (ans)<\/p>\n
\nPrincipal amount = 10000, Interest payable = $\\frac{10}{100}*10000$ = 1000
\nPrinciple amount left for second year = total payable at end of first year – instalment amount
\n$\\Rightarrow$ 10000+1000 – x = 11000 – x<\/p>\n
\nInterest payable = $\\frac{10}{100}*(11000 – x)$ = 1100 – 0.1x
\nSo second instalment = Principal amount + interest = x
\n$\\Rightarrow$ (11000 – x) + (1100 – 0.1x) = x
\n$\\Rightarrow$ 12100 = 2.1x
\n$\\Rightarrow$ x = 5761.90<\/p>\n
\nReturn on investment = 30%
\nTotal money accumulated after 2 years =$\\frac{100+30}{100} * X$ = 1.3X<\/p>\n
\n= 1.21X<\/p>\n
\nX = 10000<\/p>\n
\n=> Amount received by Mahesh = $p*1.1^3$
\nAmount received by Mahesh = $1.331p$
\nAmount Mahesh owes = $p+pnr$ = $p+p*3*0.1$ = $1.3p$.
\nProfit = $1.331p – 1.3p = 0.031p$
\nIt has been given that $0.031p = 527$
\n=> $p = Rs. 17000$.
\nAmount that Mahesh will owe = $1.3*17000 = 22100$
\nTherefore, option C is the right answer.<\/p>\n
\nTherefore, $p*0.13*0.13= 2197$
\n$p = 2197\/0.0169$
\n$p = $ Rs. $1,30,000$.
\nTherefore, option D is the right answer.<\/p>\n
\nTherefore, time period = 2*2 = 4 and effective interest rate = 20\/2 = 10% p.a.
\nAmount = $p(1+\\frac{r}{100})^2$
\n= $50,000*(1.1)^4$
\n= Rs. $73,205$<\/p>\n
\n= Rs.$23,205$.
\nTherefore, option C is the right answer.<\/p>\n
\nAmount Daniel will owe by the end of 2 years = $p + 2pr$
\nAmount Daniel will receive by the end of 2 years = $p(1+r)^2$
\n= $p (1+r^2 + 2r)$
\n=$p + pr^2 + 2pr$.
\nProfit realized by Daniel = $p + pr^2 + 2pr -p – 2pr$.
\n=> Profit = $pr^2$
\nProfit percentage = $\\frac{pr^2}{p+2pr}$
\n=$\\frac{r^2}{1+2r}$<\/p>\n
\n=> Profit percentage = $\\frac{0.01}{1.2}$ = $0.833$%.
\nTherefore, option C is the right answer.<\/p>\n