CUET PYQs for Compound Interest with Solutions: Practice CUET Previous Year Questions

1.

A loan of ₹200000 at the interest rate of 6% p.a. compounded monthly is to be amortized by equal payments at the end of each month for 5 years. The monthly payment is:
[Given (1.005)^-60 = 0.74137220]

• ₹1,866.57
• ₹4,886.57
• ₹3,866.57
• ₹2,866.57

2.

A firm anticipates an expenditure of ₹10,000 for a new equipment at the end of 5 years from now. How much should the firm deposit at the end of each quarter into a sinking fund earning interest 10% per year compounded quarterly to provide for the purchase?
[Use (1.025)²⁰=1.7]

• ₹368.55
• ₹298.40
• ₹357.14
• ₹745.03

3.

A piece of paper is folded and a cut is made as shown below. How it will appear when opened?

4.

If the present value of a perpetuity of ₹600 payable at the end of every six months is ₹18000, then the rate of interest is:

• \(\frac{20}{3} %\) % per annum
• \(\frac{22}{3} %\) % per annum
• \(\frac{17}{3} %\) % per annum
• \(\frac{10}{3} %\) % per annum

5.

A sum of money triples it self in 3 years at compound interest. In how many years will it becomes 9 times

• 9 years
• 6 years
• 12 years
• 5 years

6.

The effective rate which is equivalent to stated rate of \(6\%\) compounded semiannually is:

• \(6.09\%\)
• \(1.03\%\)
• \(4.09\%\)
• \(5.09\%\)

7.

A borrowed Rs 10000 each from his friends B and C for 2 years. He was supposed to pay compound interest at 10% per annum to B and simple interest 11% per annum to C. Who charged more interest at the end of 2 years and how much more ?

• B, Rs 20 more
• B, Rs 80 more
• C, Rs 100 more
• C, Rs 120 more

8.

A property dealer wishes to buy different houses given in the table below with some down payments and balance in EMI for 25 years. Bank charges 6% per annum compounded monthly.

• (A) - (I), (B) - (II), (C) - (III), (D) - (IV)
• (A) - (I), (B) - (III), (C) - (IV), (D) - (II)
• (A) - (III), (B) - (IV), (C) - (I), (D) - (II)
• (A) - (III), (B) - (IV), (C) - (II), (D) - (I)

9.

A sum of\( 10,000\) becomes \( 14,400\) on compound interest in \(2\) years. What is the rate of interest per annum?

• \(10\%\)
• \(40\%\)
• \(20\%\)
• \(15\%\)

10.

The present value (in ₹.) of a perpetuity of ₹.3600 payable at the end of each quarter, if the interest rate is 9% per annum compounded quarterly, is:

• ₹2,40,000
• ₹1,60,000
• ₹2,00,000
• ₹3,20,000

11.

Mr. Dileep Rao has set up a sinking fund so that he can accumulate \(₹ 10,00,000\) in \(10 \)years for his children's higher education. How much amount should Dileep Rao deposit at the beginning of each year to accumulate this amount at the end of\( 10\) years. If the interest rate is  compounded annually? Given that \((1.12)^{11}=3.477\) (Rounded off to the nearest paise)

• \(₹ 50000\)
• \(₹ 50900\)
• \(₹ 51211.10\)
• \(₹50912.18\)

12.

The present value of a perpetual income of x paybale at the end of each 6 months is ₹ 1,80,000. If the money is worth 5% compounded semi-annually, then the value of x is ₹:

• 4500
• 7500
• 9000
• 4250

13.

A multinational company creates a sinking fund by setting a sum of Rs. 12,000 annually for 10 years to pay off a bond issue of Rs. 72,000. If the fund accumulates at\(5\% \)per annum compound interest, then the surplus after paying for bond is

• Rs. 78,900
• Rs. 68,500
• Rs. 72,000
• Rs. 1,44,000

14.

A car costing ₹8,50,000 has scrap value of ₹1,25,000. If annual depreciation charge is ₹1,45,000, then useful life of the car is:

• 12 years
• 5 years
• 7 years
• 10 years

15.

For an investment, if the nominal rate of interest is\(10\%\)compounded half-yearly, then the effective rate of interest is:

• \(10.25\%\)
• \(11.25\%\)
• \(10.125\%\)
• \(11.025\%\)