CAT 2018 to CAT 2023 – All Questions of Simple and Compound Interest
July 28, 2024 2024-08-03 9:37CAT 2018 to CAT 2023 – All Questions of Simple and Compound Interest
CAT 2018 to CAT 2023 – All Questions of Simple and Compound Interest
Amiya Kumar Welcome to the ultimate guide for mastering Simple Interest and Compound Interest questions for the CAT exam. This guide covers all the questions from CAT 2018 to CAT 2023, providing you with detailed explanations and video solutions. Whether you’re a beginner or looking to polish your skills, this guide has got you covered.
Let’s dive into the questions and start preparing for a stellar performance in your CAT exam!
Questions Overview
| Year | Total Questions | Difficulty Level |
|---|---|---|
| CAT 2023 | 2 | Medium |
| CAT 2022 | 3 | Medium to Hard |
| CAT 2021 | 2 | Medium |
| CAT 2020 | 3 | Hard |
| CAT 2019 | 2 | Easy to Medium |
| CAT 2018 | 2 | Medium |
Believe in yourself and your preparation. Each question you attempt brings you one step closer to your dream B-school. Remember, practice makes perfect. So, give your best shot at each question before checking the solutions.
Attempt First, Then Watch the Video Solution
We encourage you to attempt the questions on your own first. After giving your best effort, you can check the video solutions to understand the concepts and methods in detail. This way, you will maximize your learning and be better prepared for the actual exam.
Good luck, and happy studying!
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CAT Simple Interest and Compound Interest Questions
Question 1
Anil borrows Rs 2 lakhs at an interest rate of 8% per annum, compounded half-yearly. He repays Rs 10320 at the end of the first year and closes the loan by paying the outstanding amount at the end of the third year. Then, the total interest, in rupees, paid over the three years is nearest to
CAT 2023
Question 2
Anil invests Rs. 22000 for 6 years in a certain scheme with 4% interest per annum, compounded half-yearly. Sunil invests in the same scheme for 5 years, and then reinvests the entire amount received at the end of 5 years for one year at 10% simple interest. If the amounts received by both at the end of 6 years are same, then the initial investment made by Sunil, in rupees, is
CAT 2023
Question 3
Mr. Pinto invests one-fifth of his capital at 6%, one-third at 10% and the remaining at 1%, each rate being simple interest per annum. Then, the minimum number of years required for the cumulative interest income from these investments to equal or exceed his initial capital is
CAT 2022
Correct Answer: 20
Question 4
Nitu has an initial capital of ₹20,000. Out of this, she invests ₹8,000 at 5.5% in bank A, ₹5,000 at 5.6% in bank B and the remaining amount at x% in bank C, each rate being simple interest per annum. Her combined annual interest income from these investments is equal to 5% of the initial capital. If she had invested her entire initial capital in bank C alone, then her annual interest income, in rupees, would have been
CAT 2022
Correct Answer: 800
Question 5
Alex invested his savings in two parts. The simple interest earned on the first part at 15% per annum for 4 years is the same as the simple interest earned on the second part at 12% per annum for 3 years. Then, the percentage of his savings invested in the first part is
CAT 2022
Correct Answer: 37.5%
Question 6
Anil invests some money at a fixed rate of interest, compounded annually. If the interests accrued during the second and third year are ₹ 806.25 and ₹ 866.72, respectively, the interest accrued, in INR, during the fourth year is nearest to
CAT 2021
Correct Answer: C
Question 7
Bank A offers 6% interest rate per annum compounded half-yearly. Bank B and Bank C offer simple interest but the annual interest rate offered by Bank C is twice that of Bank B. Raju invests a certain amount in Bank B for a certain period and Rupa invests ₹ 10,000 in Bank C for twice that period. The interest that would accrue to Raju during that period is equal to the interest that would have accrued had he invested the same amount in Bank A for one year. The interest accrued, in INR, to Rupa is
CAT 2021
Correct Answer: B
Question 8
For the same principal amount, the compound interest for two years at 5% per annum exceeds the simple interest for three years at 3% per annum by Rs 1125. Then the principal amount in rupees is
CAT 2020
Question 9
A person invested a certain amount of money at 10% annual interest, compounded half-yearly. After one and a half years, the interest and principal together became Rs.18522. The amount, in rupees, that the person had invested is
CAT 2020
Question 10
Veeru invested Rs 10000 at 5% simple annual interest, and exactly after two years, Joy invested Rs 8000 at 10% simple annual interest. How many years after Veeru’s investment, will their balances, i.e., principal plus accumulated interest, be equal?
CAT 2020
Question 11
Amal invests Rs 12000 at 8% interest, compounded annually, and Rs 10000 at 6% interest, compounded semi-annually, both investments being for one year. Bimal invests his money at 7.5% simple interest for one year. If Amal and Bimal get the same amount of interest, then the amount, in Rupees, invested by Bimal is
CAT 2019
Question 12
A person invested a total amount of Rs 15 lakh. A part of it was invested in a fixed deposit earning 6% annual interest, and the remaining amount was invested in two other deposits in the ratio 2:1, earning annual interest at the rates of 4% and 3%, respectively. If the total annual interest income is Rs 76000 then the amount (in Rs lakh) invested in the fixed deposit was
CAT 2019
Question 13
John borrowed Rs. 2,10,000 from a bank at an interest rate of 10% per annum, compounded annually. The loan was repaid in two equal instalments, the first after one year and the second after another year. The first instalment was interest of one year plus part of the principal amount, while the second was the rest of the principal amount plus due interest thereon. Then each instalment, in Rs., is
CAT 2018
Question 14
Gopal borrows Rs. X from Ankit at 8% annual interest. He then adds Rs. Y of his own money and lends Rs. X+Y to Ishan at 10% annual interest. At the end of the year, after returning Ankit’s dues, the net interest retained by Gopal is the same as that accrued to Ankit. On the other hand, had Gopal lent Rs. X+2Y to Ishan at 10%, then the net interest retained by him would have increased by Rs. 150. If all interests are compounded annually, then find the value of X + Y.
CAT 2018
