Question : Vipul and Manish invested the sum of INR 15,000 and INR 20,000 at the rate of 20% per annum and 30% per annum respectively on compound interest (compounding annually). If time period is 3 years for both, then what will be the total compound interest earned by Vipul and Manish?
Option 1: INR 32,480
Option 2: INR 31,688
Option 3: INR 29,460
Option 4: INR 34,860
Latest: SSC CGL preparation tips to crack the exam
Don't Miss: SSC CGL complete guide
New: Unlock 10% OFF on PTE Academic. Use Code: 'C360SPL10'
Correct Answer: INR 34,860
Solution : Given: Vipul and Manish invested the sum of INR 15,000 and INR 20,000 at the rate of 20% per annum and 30% per annum respectively on compound interest (compounding annually). We know the formulas, $A = P(1+\frac{R}{100})^T$ $CI = A-P$ where $CI$, $A$, $P$, and $R$ are the compound interest, amount, principal, and rate. $CI$ earned by Vipul, $A = 15000(1+\frac{20}{100})^3$ ⇒ $A = 15000(1+0.20)^3$ ⇒ $A = 15000\times(1.20)^3$ ⇒ $A = 15000\times1.728=$ INR 25,920 $CI = A- P$ ⇒ $CI = 25920-15000=$ INR 10,920 $CI$ earned by Manish, $A = 20000(1+\frac{30}{100})^3$ ⇒ $A = 20000(1+0.30)^3$ ⇒ $A = 20000\times(1.30)^3$ ⇒ $A = 20000\times2.197=$ INR 43,940 $CI = A- P$ ⇒ $CI = 43940- 20000=$ INR 23,940 The total compound interest earned by Vipul and Manish = INR 43940 + INR 23940 = INR 34,860. Hence, the correct answer is INR 34,860.
Candidates can download this ebook to know all about SSC CGL.
Answer Key | Eligibility | Application | Selection Process | Preparation Tips | Result | Admit Card
Question : A man invests a total sum of INR 10,000 in a company. A part of the sum was invested at 10% simple interest per annum and the remaining part, at 15% simple interest per annum. If the total interest accrued in two years equals INR 2,400, the sum invested at 15% simple
Question : Rahul invested equal sums of money at compound interest under two schemes A and B. Under scheme A, the interest rate was 10% per annum, and under scheme B, the interest rate was 12% pa. The compound interest after two years on the sum invested in scheme A was INR 1,050. How
Question : The compound interest (compounding annually) on a certain sum at the rate of 8% per annum for two years is INR 6,656. What would be the simple interest on the same sum at the same rate of interest for two years?
Question : The difference between simple and compound Interest compounded annually on a certain sum of money for 2 years at 4% per annum is Rs. 8. The sum is:
Question : A sum of money invested at 20% compound interest (compounded annually). It would fetch Rs. 723 more in 2 years if interest is compounded half-yearly. The sum is:
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile