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SSC MTS 2023 PYQ — Question 11

SSC MTS - 09 May 2023 - Shift 1 • Quantitative Aptitude • Q11

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On a certain sum, the simple interest for 2 years is Rs. 12000. If the sum is Rs. 12000, then what will be the compound interest (compounding annually) on the same sum at the same rate of interest for the first 3 years?

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Correct answer: C

Explanation

The correct answer is option 3 i.e. Rs.28500.

Given that

The simple interest for 2 years on a sum of 12000 = 12000

Let the rate of interest be R

S.I = P×R×T100\frac{P × R×T}{100}

12000 = 12000×R×2100\frac{12000×R×2}{100}

R = 50%

C.I = P(1+R100)P(1+\frac{R}{100})t - P

C.I = 12000(150100\frac{150}{100})3 - 12000 = 40500 - 12000 = 28500

Hence, the compound interest on 12000 at 50% rate of interest for the first 3 years is 28,500.