Compound Int Basics

Analogy of Normal school similar to :

• Simple Interest

• Mutual funds

• gold loan

• Compound Interest

Compound Interest is similar to which analogy :

• Military school

• Convent school

• School of our Dreams

• Normal school

Rate of Interest is 24% per annum. What is rate for half year ?

• 12%

• 6%

• 25%

• 4%

Rate of Interest is 24% per annum. What is rate for quarter year ?

• 3%

• 6%

• 12%

• 9%

Rate of Interest is 6% per annum. What is rate for a month ?

• 0.5%

• 1%

• 2%

• 0.6%

How may half years compose 10 years ?

• 20

• 5

• 50

• 10

How may quarter years compose 9 years ?

• 24

• 36

• 18

• 12

Calculate the amount for a sum of 12,000 kept at 8% pa compounding annually for 2 years ?

• 32309.7

• 23555.5

• 13,996.8

• 12996.8

Calculate the CI value for a sum of 12,000 kept at 8% pa compounding annually for 2 years ?

• 2996.8

• 1996.8

• 3996.8

• 6000