Compound interest questions Practice Question and Answer

Q: рд╢реНрд░реА рдЕрдорд┐рди рдиреЗ рд╢реНрд░реА рд╡рд┐рд╢реНрд╡рд╛рд╕ рд╕реЗ рдХреБрдЫ рд░рд╛рд╢рд┐ рдЙрдзрд╛рд░ рд▓реАред рдЙрд╕реЗ 2 рд╡рд░реНрд╖ рддрдХ 8 рдкреНрд░рддрд┐рд╢рдд рдЕрдЧрд▓реЗ 3 рд╡рд░реНрд╖ рдХреА рдХрд╛рд▓рд╛рд╡рдзрд┐ рддрдХ рдЬреИрд╕реЗ 2 рд╡рд░реНрд╖ рд╕реЗ рдЕрдзрд┐рдХ рддрдерд╛ 5 рд╡рд░реНрд╖ рд╕реЗ рдХрдо 11 рдкреНрд░рддрд┐рд╢рдд рдкреНрд░рддрд┐ рд╡рд░реНрд╖ рдХреА рджрд░ рд╕реЗ рддрдерд╛ 5 рд╡рд░реНрд╖ рд╕реЗ рдЕрдзрд┐рдХ рд╕рдордп рдХреЗ рд▓рд┐рдП 14 рдкреНрд░рддрд┐рд╢рдд рдкреНрд░рддрд┐рд╡рд░реНрд╖ рдХреА рджрд░ рд╕реЗ рдмреНрдпрд╛рдЬ рджреЗрдирд╛ рдкреЬрд╛ред рд╢реНрд░реА рд╡рд┐рд╢реНрд╡рд╛рд╕ рдиреЗ 8 рд╡рд░реНрд╖ рдХреЗ рдЕрдиреНрдд рдореЗрдВ рдмрддреМрд░ рдмреНрдпрд╛рдЬ рдХреЗ 10,920 рд░реВрдкрдпреЗ рдкреНрд░рд╛рдкреНрдд рдХрд┐рдпреЗред рд╢реНрд░реА рдЕрдорд┐рди рджреНрд╡рд╛рд░рд╛ рдХрд┐рддрдиреА рд░рд╛рд╢рд┐ рдХрд░реНрдЬ рдкрд░ рд▓реА рдЧрдпреА рдереА? 2888 0

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    12000 рд░реВрдкрдпреЗ
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    Wrong
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    15000 рд░реВрдкрдпреЗ
    Correct
    Wrong
  • 3
    14000 рд░реВрдкрдпреЗ
    Correct
    Wrong
  • 4
    рддрдереНрдп рдЕрдзреВрд░реЗ рд╣реИ
    Correct
    Wrong
  • 5
    рдЗрдирдореЗрдВ рд╕реЗ рдХреЛрдИ рдирд╣реАрдВ
    Correct
    Wrong
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Answer : 1. "12000 рд░реВрдкрдпреЗ "
Explanation :

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Q: Compounding interest means interest accrues 2099 1

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    at variable rates throughout the term
    Correct
    Wrong
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    more quickly than simple interest
    Correct
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    more slowly than simple interest
    Correct
    Wrong
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    at the same rate as simple interest
    Correct
    Wrong
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Answer : 2. "more quickly than simple interest"
Explanation :

Answer: B) more quickly than simple interest Explanation: Compounding interest means interest accrues on the interest charged and the principal amount each period the interest is charged. Compound interest is calculated by multiplying the principal amount by one plus the annual interest rate raised to the number of compound periods minus one.The total initial amount of the loan is then subtracted from the resulting value. The formula for calculating compound interest is: [P (1 + i)n] тАУ P = P [(1 + i)n тАУ 1] (Where P = Principal, i = nominal annual interest rate in percentage terms, and n = number of compounding periods.) Take a three-year loan of Rs. 10,000 at an interest rate of 5% that compounds annually. What would be the amount of interest? In this case, it would be: Rs. 10,000 [(1 + 0.05)3] тАУ 1 = 10,000 [1.157625 тАУ 1] = Rs. 1,576.25. ┬а How it grows ::

Q: рджреЛ рд╡рд░реНрд╖ рдХреЗ рдЕрдиреНрдд рдореЗрдВ 6 рдкреНрд░рддрд┐рд╢рдд рдХреА рджрд░ рд╕реЗ 15,800 рд░реВрдкрдпреЗ рдХреА рдореВрд▓ рд░рд╛рд╢рд┐ рдкрд░ рдХрд┐рддрдирд╛ рдкреНрд░рддрд┐рд╢рдд рдЪрдХреНрд░рд╡реГрджреНрдзрд┐ рдмреНрдпрд╛рдЬ рдорд┐рд▓реЗрдЧрд╛? 2260 0

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    1,896 рд░реВрдкрдпреЗ
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    Wrong
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    2012.48 рд░реВрдкрдпреЗ
    Correct
    Wrong
  • 3
    1952.88 рд░реВрдкрдпреЗ
    Correct
    Wrong
  • 4
    1,956 рд░реВрдкрдпреЗ
    Correct
    Wrong
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    рдЗрдирдореЗрдВ рд╕реЗ рдХреЛрдИ рдирд╣реАрдВ
    Correct
    Wrong
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Answer : 3. "1952.88 рд░реВрдкрдпреЗ"
Explanation :

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Q: 15,000 рд░реВрдкрдпреЗ рдХреА рд░рд╛рд╢рд┐ рдкрд░ рддреАрди рд╡рд░реНрд╖ рдХреЗ рдЕрдиреНрдд рдореЗрдВ рдЙрдкрдЪрд┐рдд рд╕рд╛рдзрд╛рд░рдг рдмреНрдпрд╛рдЬ 2250 рд░реВрдкрдпреЗ рд╣реИред рдЗрд╕ рд░рд╛рд╢рд┐ рдкрд░ рдЗрд╕реА рджрд░ рдкрд░, рдЗрд╕ рдЕрд╡рдзрд┐ рдореЗрдВ рдЙрдкрдЪрд┐рдд рдЪрдХреНрд░рд╡реГрджреНрдзрд┐ рдмреНрдпрд╛рдЬ рдХрд┐рддрдирд╛ рд╣реЛрдЧрд╛? 2198 0

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    8934.6784 рд░реВрдкрдпреЗ
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    Wrong
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    8017.5744рд░реВрдкрдпреЗ
    Correct
    Wrong
  • 3
    7861.8754 рд░реВрдкрдпреЗ
    Correct
    Wrong
  • 4
    рдирд┐рд░реНрдзрд╛рд░рд┐рдд рдирд╣реАрдВ рдХрд┐рдпрд╛ рдЬрд╛ рд╕рдХрддрд╛
    Correct
    Wrong
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    рдЗрдирдореЗрдВ рд╕реЗ рдХреЛрдИ рдирд╣реАрдВ
    Correct
    Wrong
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Answer : 5. "рдЗрдирдореЗрдВ рд╕реЗ рдХреЛрдИ рдирд╣реАрдВ"
Explanation :

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Answer : 3. "2 рд╡рд░реНрд╖"

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