Simple Interest and Compound Interest
• Simple Interest (SI)=
• Where,
• P is the Principal amount
• R is annual Rate of Interest
• T is the Time for which principal is invested
What would be the annual interest accrued on a deposit of Rs. 10,000 in
a bank that pays a 4 % per annum rate of simple interest?
• A sum of money amounts to Rs. 28,000 in 2 years at 20 % simple
interest per annum. Find the sum.
• A man borrowed a certain sum of money at the rate of 6 % per annum
for the first two years, 9% per annum for the next three years, and
14% per annum for the period beyond 5 years. If he pays a total
interest of Rs. 22,800 at the end of 9 years, find the amount he
borrowed.
• At what annual rate of interest will a sum of money be thrice in 10
years?
• The simple interest on a sum of money in 5 years at 12 % per annum
is Rs. 400 less than the simple interest accrued on the same sum in 7
years at 10 % per annum. Find the sum.
• A sum of Rs. 1000 was lent to two people, one at the rate of 5 % and
the other at the rate of 8 %. If the simple interest after one year is Rs.
62, find the sum lent at each rate.
• Compound Interest is interest calculated on the initial principal and
the accumulated interest from previous periods. It grows
exponentially over time because you earn "interest on interest."
• If Rs. 5000 amounts to Rs. 5832 in two years compounded annually,
find the rate of interest per annum.
• The difference between the SI and CI on a certain sum of money at a
10 % rate of annual interest for 2 years is Rs. 549. Find the sum.
• A sum of Rs. 1000 is to be divided among two brothers such that if
the interest is compounded annually is 5 % per annum, then the
money with the first brother after 4 years is equal to the money with
the second brother after 6 years.
• A sum of money amounts to Rs. 669 after 3 years and to Rs. 1003.50
after 6 years on compound interest. Find the sum.
• An investment doubles itself in 15 years if the interest is compounded
annually. How many years will it take to become 8 times?
• If the difference between compound interest and simple interest on
some principle amount is at the rate of interest of 20% per annum for 3
years in $48, then what is the principle amount?
• A sum of money placed at compound interest doubles itself in 3 years.
In how many years will it amount to 8 times itself?