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Multiple Choice Questions

This document contains 68 multiple choice questions related to financial topics like simple interest, compound interest, annuities, loans, and time value of money. The questions cover calculations involving interest rates, principal amounts, time periods, compounding frequencies, and determining unknown values. Answers are not provided.

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Cyber Virgin
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0% found this document useful (0 votes)
161 views

Multiple Choice Questions

This document contains 68 multiple choice questions related to financial topics like simple interest, compound interest, annuities, loans, and time value of money. The questions cover calculations involving interest rates, principal amounts, time periods, compounding frequencies, and determining unknown values. Answers are not provided.

Uploaded by

Cyber Virgin
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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MULTIPLE CHOICE QUESTIONS

Answer the following Multiple Choice Questions

1) The notation dy/dx is the ______ where y is depended on variable x.

Ans: -

2) Derivative of y w.r.t.x is the _________.

Ans: -

3) Derivative of a constant function is _____.

Ans: -

4) The notation d2y / dx2 is ______ order derivative of y w.r.t.x.; hence d2y / dx2 where
y= x3 is _______

Ans: -

5) Derivative of 7x+6 / 3x+5 is _________.

Ans: -

6) Derivative (dy / dx) of 2x, log x is obtained by using_________.

Ans: -

7) If y = 2x7, then dy / dx = ______ where 2 is ____ of the function x7.

Ans: -

8) If y = u.v.w. where u,vw are functions of the independent variable x then denotes y
w.r.t.x (dy / dx) = ______.

Ans: -
MULTIPLE CHOICE QUESTIONS

Answer the following Multiple Choice Questions:

1. A sum of money will double itself at 8% p.a simple interest in ___ years.

Ans: - 12 ½

2) A some of money gets simple interest equal to itself at _____ p.a simple interest in 4
years.

Ans: - 25%

3) The simple interest on Rs. 16,000/- for 8 months at 10% p.a is ______.

Ans: - Rs 1066.67

4) A shopkeeper borrowed Rs. 25,000 from a financier at 12% per annum simple interest.
The amount paid by him to clear the loan after a period of 2 years and 6 months is
_______.

Ans: - Rs 32,500

5) Mr. A and Mr. B borrowed Rs 11,200 each at 10% per annum simple interest for a
period of 2 years and 4 years respectively the difference of the interest paid by them is
________.

Ans: - Rs. 2,240

6) What some of money will amount to 526.67 in 1 year and 4 month at 4% p.a. simple
interest.

Ans: - Rs 500

7) A sum compounded annually becomes 121/100 times of itself in 2 years. The C.I rate
is _______.

Ans: - 10%
8) The cost of a generator is Rs 60,000/-. If its value depreciates at the rate of 5% p.a., its
value after two years is ______.

Ans: - Rs. 54,150

9) The compound interest on Rs. 10,000/- at an interest rate of 5% p.a. for 3 years is
______. (Use 5 decimal Places).

Ans: - 1576.30

10) The difference between simple interest and compound interest on Rs. 6,000 for 4
years at 6% p.a. is _______ (Use Five Decimal Place).

Ans: - 134.88

11) In how many years will Rs 2,400 amount to Rs. 2646 at 5% compound interest
_________

Ans: - 2

12) The maturity amount of a sum of Rs 60, 00, 000 invested at 16% p.a. for a year
interest is compounded half yearly is ________.

Ans: - Rs 69, 98, 400

13) Production of a factory increased from 5120 units to 7290 units in three years. The
rate of growth is _____ (using compound interest formula)

Ans: - 7.5%

14) Cost of refrigerator was quoted Rs 20,000 in beginning of year 2002. In beginning of
2003 the price was hiked by 10%. Due to decrease in demand price was reduced by 2%
beginning of 2004. The price of the refrigerator in 2004 is _______.

Ans: - Rs. 20,900


15) The amount at the end of one year of an annuity of Rs 4,000/- payable quarterly, @
rate 12% p.a. is ______________.

Ans: - Rs 16, 7634.68

16) The formula to find present value of annuity regular, where A is annuity
is____________.

Ans: -

17) The EMI on a loan to Rs 1, 20, 000 for a period of 8 months at a rate of 12% p.a. by
the flat rate of interest method is __________.

Ans: - 16, 200

18) A person has taken a loan of Rs 40,000 at the rate of 10% per month. The person
repays using the flat interest rate method in 4 months, then the EMI is _______.

Ans: - Rs 14,000

19) Mr. Shankar has taken a loan of Rs 4, 00, 000 from a bank at 10% rate of interest per
annum a term of 4 years. Calculate EMI (nearest Rs)

Ans: - Rs. 1, 26, 188

Simple Interest

20) If simple interest for an amount for one year at a certain rate of interest is Rs 950,
then interest for the same amount at the same rate of 4 years is ______.

Ans: - Rs 3,800

21) If Rs 40,000 becomes Rs 50,000 at 5% simple interest p.a., the number of years is
________.

Ans: - 5years
22) The simple interest on 9,000 for 4 years at 5% p.a is ______ C.I on 6000 for 3 years
@ 5%.

Ans: - more than

23) A shopkeeper borrowed Rs 35,000 from a financer at 10% p.a. is 1. The amount paid
by to clear the loan for 1 Year 8 months is ______.

Ans: - Rs 40, 833.33

24) What sum of money will amount to 526.67 in 1 year and 6 months at 6% p.a. S.I
_________.

Ans: - 500

25) In how many years will a sum of money double itself at 8% p.a. simple interest?

Ans: - 12.5 years

26) A sum of money amounts to Rs. 11,880 after 4 years and to Rs 14, 040 after 7 years
at a certain rate of simple interest. Find the sum and the rate.

Ans: - 9,000, 8%

27) If the simple interest on a sum of money at a certain rate for two years is Rs. 450,
then the simple interest on the same sum at the same rate for five years is Rs. ________

Ans : - Rs 1,125

28) The simple interest on a sum of money for 4 years at 11% p.a. simple interest is Rs 2,
904. The sum is Rs _______.

Ans: - Rs 6, 600

29) The simple interest on Rs 2,500 at 9% p.a. for 8 months is Rs.______

Ans: - Rs 150
30) If the simple interest on a sum of money at a certain rate for five years is Rs 1, 200,
then the simple interest on the same sum at the same rate for two years is Rs _______

Ans: - Rs. 480

31) Find the simple interest on Rs 25,000 at 8% p.a. from 5th July 2014 to 23rd October
2014.

Ans: - 26 + 31 + 30 = 110 days, 602.74

32) Find the simple interest on Rs 30,000 at 11% p.a. from 20th September 2013 to 5th
December 2013.

Ans: - 10 + 31 + 30 + 5 = 76days, 687.12

33) If simple interest on an amount for one year at a certain rate of interest is Rs. 950,
then simple interest for the same amount at the same rate for 4 years is_________.

Ans: - Rs. 3, 800

34) Approximately at what rate of simple interest would an amount double itself in 4
years.

Ans: - 25%

35) If Rs 40,000 becomes Rs. 50000 at 5% simple interest p.a. the number of years is

Ans: - 5 years

36) The simple interest on Rs 6,000 fpr 4 years at 5% p.a. is ___ compound interest for 3
years at 5%

Ans: - More than

37) A shopkeeper borrowed Rs 35,000 from a financier at 10% p.a. simple interest. They
paid by him to clear the loan after a period of 1 year 8 months is _________

Ans: - Rs. 40, 833.33


38) The simple interest on Rs 30, 000 at 8% p.a. for 6 months is ______.

Ans: - Rs 1200

39) If the principal, number of years and rate of interest remains the same, then the
interest is______ the compound interest.

Ans: - Less than or equal to

40) If the simple interest on a sum of money at a certain rate for two years is Rs 400.
Then simple interest on the same sum at the same rate for five years is Rs. _______

Ans: - Rs. 1000

41) The simple interest on a sum of money for 4 years at 12% p.a. simple interest is 31
then the sum is _________.

Ans: - Rs 65, 000

42) The simple interest on a certain sum at a certain rate for a year is 1,230. What is the
interest on the same sum at the rate for 3 years?

Ans: - 8, 600

43) The simple interest on a certain sum at a certain rate for 4 years is Rs. 8, 600. What is
the interest on the same sum at the same rate for 1 year?

Ans: - 2, 150

44) The simple interest on a certain sum at a certain rate for 3 years is Rs 4, 200 and for 5
years Rs 7,000. What is the simple interest on the same sum at the same rate for 8 Years?

Ans: - Rs 11, 200


45) The simple interest on a certain sum at a certain rate for 4 year is Rs 6, 300 and for 7
years Rs. 11,025, What is the simple interest on the same sum at the same rate for 2
years.

Ans: - Rs 3, 150

47) The simple interest on a sum of money will be Rs 2, 504 in 4 years at 11% p.a.
simple interest. What is the sum?

Ans: - 6, 600

48) If the simple interest for 3 years on Rs 10, 500 is Rs. 15090 then the rate of interest is
_____

Ans: - 6%

49) What is the simple interest on Rs 16,000 for 8 years at 10% p.a. ____________

Ans: - Rs. 12, 800

Compound Interest

50) Approximately at what rate of C.I would an amount double itself in 4 years?

Ans: - 18.92%

51) An amount after 3 years with 7% compound interest p.a. becomes Rs. 61,252.15 the
the principle amount is ______.

Ans: - Rs. 50000

52) The C.I calculated quarterly on Rs 5, 000 for 1 year @ 10% p.a. is _____.

Ans: - Rs. 519.06

53) The compound interest on Rs 15, 000 at 9% p.a. for 3 years is ______.

Ans: - Rs 4425.435
54) More frequent the compounding _______ is the amount.

Ans: - Higher

55) The amount at the end of 4 years on a principal of Rs 18, 500 at 10% p.a. compound
interest is ____________.

Ans: - Rs 27,085.8

56) The amount at the end of a year on a principal of Rs 10,000 at 12%R p.a.
compounded quarterly is_________.

Ans: - Rs 11255.1

57) Find the maturity amount of a 2 year fixed deposit of Rs 3,00,000 at 8% p.a. if the
interest compounded.

Ans: - Annually

58) The compound interest on Rs 15,000 at 5% p.a. for 2 years calculated half-yearly.

Ans: - Rs 1557.19

59) The compound interest on Rs 2,000 for 3 years at the rate of 5% p.a. compound Rs
______.

Ans: - Rs 315.253

60) The present value of Rs 6,000 to be paid 3 years from now, with 10% p.a. compound
interest is_________.

Ans: - Rs 4507.80

61) The amount obtained on a principal of Rs 10,000 after 3 years at a rate of


compounded interest is ________.

Ans: - Rs 13,310
62. For how many years must be Rs 3, 20, 00, 000 be invested at 8% p.a. to get Rs 3,462
the interest is compounded quarterly?

Ans: - 1 Year

63) Find the amount if Rs 1, 00, 000 is invested for 2 years at 12% p.a. compounded semi
any ally______.

Ans: - Rs 1, 26,248

64) The compound interest on Rs 15,000 at 5% p.a. for 2 years calculated half-yearly is

Ans: - Rs 1577.19

65) An amount after 3 years with 7% compound interest p.a. becomes 61,252.15
principal amount is ____

Ans: - Rs 50,000

66) The compound interest calculated quarterly on 5, 000 for 1 year at 10% p.a. is ___

Ans: - Rs 519.06

67) The compound interest on Rs. 10,000 for 3 years at the rate of 8% p.a. compounded
annually Rs ________

Ans: - Rs 2597.12

68) The present value of Rs 6, 000 to be paid 3 years from now, with 10% p.a.
compounded interest is Rs ______.

Ans: - Rs 4,507.89

69) The compound interest on Rs. 2,000 for 3 years at the rate of 5% p.a. compounded
_____.

Ans: - Rs 306.25
70) What sum of money will become Rs 7069.87 in 4 years at 6% p.a. compound
interest?

Ans: - Rs 5,600

71) At what compound interest rate will a sum of Rs 5, 320 amount to Rs 6320.69 in 2
years?

Ans: - 5%

72) The compound interest rate on Rs 1 crore for 1 year at 4% p.a. compounded quarterly
is ______

Ans: - Rs 4, 40,040.10

73) The future value after 4 year of 20000 today, taking 10%. P.a. compound interest is
________.

Ans: - Rs 29, 872

74) If a person wants to invest a sum today at 5% p.a. compound interest so as to get s 11,
69, 317 after 3 years, he should invest _____

Ans: - Rs 10, 10,095.63

75) What is the simple interest on Rs 15,000 for 6 months at 10% p.a.

Ans: - Rs 900

76) What is the simple interest on R 15000 for 6 months at 10% p.a.

Ans: - Rs 1,589.04

77) At what rate of simple interest will an amount double itself in 2 years?

Ans: - 50%
78) What is the maturity amount of a one year fixed deposit of Rs 100000 at 8% p.a. if
the interest is compounded half –yearly.

Ans: - Rs 1, 08, 160

79) What is the amount after 4 years on Rs 20, 000 at 6% p.a. compound interest?

Ans: - Rs 25, 249.60

80) A particular sum of money amounts to Rs 5, 13,216 in 2 years and to Rs 5, 54, 273.28
in 3years. Find the sum and the compound interest rate.

Simple Interest and Compound Interest

81) The difference between simple interest and compound interest for 3 years at 10% p.a.
Rs 5000 is ___

Ans: - 155

82) The difference between the simple interest and compound interest on certain period
of 2 years at 6% rate of interest p.a. is Rs 13.50. Find the principal.

Ans: - Rs 3, 750

83) The simple and compound interest for 2 years on the same principal at the same time
Rs 7, 200 and Rs 7, 632 respectively. Find the principal and the rate.

Ans: - Rs 30000 : 12%

84) The difference between simple and compound interest for 3 years at 10% p.a. on Rs
5060

Ans: - Rs 155

85) The simple and compound interest on a sum of money at a certain rate for 2 years is
Rs 3500 and R 3090 respectively. Find the sum and the rate.

Ans: - Rs 52,000 : 6%
Effective Rate of Interest

86) The effective rate of interest of corresponding to a nominal rate of 10% p.a.
compounded annually is _

Ans: - 10.25

87) The effective rate of interest equivalent to a nominal rate of 8% p.a. compounded
quarterly approximately _____

Ans: - 8.24%

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