Simple Interest with Explanation
Q1. The simple interest on Rs. 1820 from March 9, 2005, to May 21, 2005, at 7.5% rate will be:
| A. Rs. 28.50 | B. Rs. 27.30 |
| C. Rs. 23.80 | D. Rs. 30 |
S.I = Rs. 
Q2. The time in years and the rate of interest in percent are equal. If a simple interest on a certain amount is 
of the the principal, then find the time for which the principal is lent out?
| A. 7 years | B. 6.5 years |
| C. 7.5 years | D. 5.5 years |
R2 = Q3. The simple interest on the sum of money at a rate of 5% p.a. for 8 years is Rs. 840. What must be the rate of interest to get the same amount of interest on the same sum after 5 years?
| A. 8% | B. 9% |
| C. 7% | D. 10% |
Q4. Mike agrees to pay interest at a rate of 6% per annum for the first two years, for the next three years at the rate of 9% per annum, and for the period beyond five years at the rate of 14% per annum. At the end of 9 years, he pays Rs. 11,400 as a total interest. What is the sum of money he borrowed?
| A. Rs. 10,000 | B. Rs. 14,000 |
| C. Rs. 15,000 | D. Rs. 12,000 |
Q5. Govind decides to invest 1,00,000 in two types of shares. The first gives an interest of 9% per annum and the second, 11% per annum. Determine the amount invested in each share if the total interest at the end of 1 year is 9
%?
| A. Rs. 62,500; Rs. 37,500 | B. Rs. 52,500; Rs. 47,500 |
| C. Rs. 82,500; Rs. 17,500 | D. Rs. 72,500; Rs. 27,500 |
Q6. In 10 years, A wants simple interest to be 
of the amount. So, what should be the rate percent per annum?
| A. 5.66% | B. 5% |
| C. 4% | D. 6% |
Q7. If a sum grows to Rs. 504 in 4 years at 5% per annum then how much will the same amount grow to in 2.5 years at 10% per annum?
| A. Rs. 525 | B. Rs. 450 |
| C. Rs. 550 | D. Rs. 420 |
