When we lend money from to a borrower, the brrower is to pay extra amount of money to their lender. This extra amount is known as interest. This is very important concept apply all money lenders. Interest is a income of lenders. This is very important concept of mathematics from exam point of view. Questions come from this topic in every exam.
Compound Interest And Simple interest 2 Years Chart easy for exam Calculation
| Rate% | Simple Interest | Compound interest | Difference |
|---|---|---|---|
| 1% | 2% | 2.01% | .01% |
| 2% | 4% | 4.04% | .04% |
| 3% | 6% | 6.09% | .09% |
| 4% | 8% | 8.16% | .16% |
| 5% | 10% | 10.25% | .25% |
| 6% | 12% | 12.36% | .36% |
| 7% | 14% | 14.49% | .49% |
| 8% | 16% | 16.64% | .64% |
| 9% | 18% | 18.81% | .81% |
| 10% | 20% | 21.00% | 1% |
| 11% | 22% | 23.21% | 1.21% |
| 12% | 24% | 25.44% | 1.44% |
| 13% | 26% | 27.69% | 1.69% |
| 14% | 28% | 29.96% | 1.96% |
| 15% | 30% | 32.25% | 2.25% |
| 16% | 32% | 34.56% | 2.56% |
| 17% | 34% | 36.89% | 2.89% |
| 18% | 36% | 39.24% | 3.24% |
| 19% | 38% | 41.61% | 3.61% |
| 20% | 40% | 44% | 4% |
Simple Interest and Compound Interest Chart for 3 Years easy for exam Calculation
| Rate(%) | Simple Interest (%) | Compound interest (%) | Difference(%) |
|---|---|---|---|
| 1% | 3% | 3.0301% | .0301% |
| 2% | 6% | 6.1208% | .1208% |
| 3% | 9% | 9.2727% | .2727% |
| 4% | 12% | 12.4864% | .4864% |
| 5% | 15% | 15.7625% | .7625% |
| 6% | 18% | 19.1016% | 1.1016% |
| 7% | 21% | 22.5043% | 1.5043% |
| 8% | 24% | 25.9712% | 1.9712% |
| 9% | 27 | 29.5029% | 2.5029% |
| 10% | 30% | 33.1% | 3.1% |
| 20% | 60% | 72.8% | 12.8% |
Important Terms of Simple Interest And Compound Interest
Simple Interest– Simple interest is that method to calculate the amount of interest charged on sum at a given rate and given period of time. Simple Interest is denoted by S.I.
Formula for Simple Interest = P*R*T/100
P means the amount of Principle. R means the rate of interest. T means time period given for lend money.
Amount = Principle+Simple Interest
Simple Interest = Amount – Principle
Compound Interest = Compound Interest is basically an amount paid not only on the principle amount but also on whatever interest has been paid already. In other meaning Interest amount is also Added to the original principle amount and that earns interest on the total investment.
Formula of Compound Interest = CI = P(1+r/100)n-P
Where,
P = Principal
R = Rate of Interest
N= Number of Times Interest is Compounded Per Year
t= Time (in years)
Calculation of rate of interest in compound interest =
a+b+(a*b)/100
A = Rate of Interest
B = Number of years
Questions Answer Quiz on Simple Interest And Compound Interest Concept
1. How much time will it take for an amount of rupees900 to yield 81 Rupees as interest at 4.5% per annum of simple interest?
- 2 years
- 3 years
- 1 year
- 4 years
Answer: A. 2Years [Complete Calculation = S.I = 81rs T = ? R = 4.5% T = 100*S.I/P*R = 100*81/900*4.5 = 2years ]
2. Find S.I on 6250rs. at 14% per annum for 146 days
- 450₹
- 350₹
- 550₹
- 650₹
उत्तर: B. 350₹ [Complete Calculation = T = 146\365 =2/5years S.I = 6250*14*(2/5)/100 = 350₹ ]
3. The Compound Interest on 30000₹ at 7% per annum is 4347₹. The period (in years) is?
- 2
- 2.5
- 4
- 3
उत्तर: A. 2years [Complete Calculation = Amount = (30,000+4347) = 34,347 Let the time be n years. Then, 30,000(1+7/100)^n =34,347 = (107/100)^n = 34,347/30000 = 11,449/10,000 = (107/100)^2 = 2years ]
4. And amount doubles itself in 15 years. What is the rate of interest?
- 7.85%
- 9.41%
- 6.66%
- 4.21%
उत्तर: C. 6.66% [Complete Calculation = let the principal assume as P. As the amount is doubled the interest is P too. So P = (P*R*15)/100. = R = 100/15 = 20/3% = 6.66% ]
5. In how many years will 2000₹ amount to 2420₹ at 10% per annual compound interest?
- 3 years
- 2.5 years
- 2 years
- 1.5 years
उत्तर: C. 2 years [Complete calculation = P:A 2000:2420 10^2:11^2 = 2 years
6. What will be the simple interest on a sum 12000₹ of the rate of 15% per annum for 3 years?
- 6000₹
- 5400₹
- 9500₹
- 7200₹
उत्तर: C. 5400 [ Complete Calculation = S.I = P*R*T/100 12000*15*3/100 = 5400₹ ]
7. If simple interest for 3 years on a certain sum is 1200₹ and on the sum compound for 2 years 823₹. What is the rate?
- 5%
- 10%
- 7%
- 8%
उत्तर: D. 8% [ Complete Calculation = simple interest = 400 for one year Compound interest for first year is 400 and second year is 432 32/400*100 = 8% ]
Conclusion
At last we conclude that this topic is very important from exam point of view. This topic is exam securing and make easy selection for learner. We add everything relevant for exam point of view. Keep practice and learning this concept in easy way. For more updates and information visit our website Examtyari.xyz. Keep learning and practice that helps to achieve your goal.
