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SSC MTS 2022 PYQ — Question 57

SSC MTS - 18 July 2022 - Shift 2 • Quantitative Aptitude • Q57

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The simple interest on a sum deposited at 10% p.a. for 4 years is ₹20,000. What will be the compound interest on the same sum at half of the above rate of interest for 2 years, interest compounded yearly?

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Correct answer: A

Explanation

The correct answer is option 1 i.e. ₹5,125.

Concept Used :

SI=P×R×T100SI = {P × R × T \over 100}

Amount=P(1+R100)TAmount = P{(1 +{R \over 100})^T}

CI = Amount - Principal

Given :

SI = ₹20,000

Rate = 10%

Time = 4 years 

Now, P = (SI × 100)/(R × T)

P = (20,000 × 100)/(10 × 4)

P = 50,000

Now, R = 5 %

T = 2 years

A = 50,000{1 + (5/100)}2

A = 50,000 × 21/20 × 21/20

A = 55,125

Now, CI = A - P = 55,125 - 50,000 

CI = 5,125.

Hence the required compound interest is ₹5,125.