Compound Interest Quiz
Practice quiz on Compound Interest (Elementary Mathematics). 10 exam-style questions with explanations.
About This Quiz
Compound Interest Quiz — Questions with Solutions
All 10 questions from this quiz with the correct answer and explanation. Attempt them yourself first, then open each solution to check your reasoning.
Q1.Find the compound interest on Rs 10,000 at 10% per annum for 2 years.
- A.Rs 1,900
- B.Rs 2,100
- C.Rs 2,200
- D.Rs 2,000
Show answer
Answer: B. Rs 2,100
10000(1.1)^2 - 10000 = 2100.
Q2.The compound interest on Rs 5,000 at 20% per annum for 2 years (compounded annually) is
- A.Rs 2,200
- B.Rs 2,400
- C.Rs 2,500
- D.Rs 2,000
Show answer
Answer: A. Rs 2,200
5000(1.2)^2 - 5000 = 2200.
Q3.A sum doubles in 5 years at simple interest. In how many years will it become 4 times?
- A.10 years
- B.20 years
- C.15 years
- D.12 years
Show answer
Answer: C. 15 years
Rate 20%; to become 4 times it needs 300% = 15 years.
Q4.The difference between CI and SI on Rs 1,000 at 10% for 2 years is
- A.Rs 10
- B.Rs 20
- C.Rs 100
- D.Rs 5
Show answer
Answer: A. Rs 10
P(r/100)^2 = 1000 x 0.01 = 10.
Q5.Rs 8,000 at 5% per annum compounded annually for 2 years amounts to
- A.Rs 8,500
- B.Rs 8,820
- C.Rs 9,000
- D.Rs 8,800
Show answer
Answer: B. Rs 8,820
8000 x 1.05^2 = 8820.
Q6.At what rate per annum will Rs 1,000 become Rs 1,210 in 2 years at compound interest?
- A.12%
- B.11%
- C.20%
- D.10%
Show answer
Answer: D. 10%
1000(1+r)^2 = 1210, r = 10%.
Q7.The compound interest on Rs 2,000 for 1 year at 10% per annum compounded half-yearly is
- A.Rs 200
- B.Rs 205
- C.Rs 220
- D.Rs 210
Show answer
Answer: B. Rs 205
2000(1.05)^2 - 2000 = 205.
Q8.A sum at 10% compound interest becomes Rs 3,630 in 2 years. The sum is
- A.Rs 3,000
- B.Rs 3,300
- C.Rs 2,800
- D.Rs 3,500
Show answer
Answer: A. Rs 3,000
3630/1.21 = 3000.
Q9.Compound interest is calculated on
- A.Principal plus accumulated interest
- B.Principal only
- C.Interest only
- D.Profit
Show answer
Answer: A. Principal plus accumulated interest
Interest on interest.
Q10.If the rate of compound interest is 20% p.a., the amount after 3 years on Rs 1,000 is
- A.Rs 1,600
- B.Rs 1,728
- C.Rs 1,800
- D.Rs 1,700
Show answer
Answer: B. Rs 1,728
1000 x 1.2^3 = 1728.
Frequently Asked Questions
Is Compound Interest Quiz free to attempt on AajExam?
Yes. Compound Interest Quiz is completely free. You only need a free AajExam account to track your score, view detailed solutions and unlock cross-attempt analytics.
How long does it take to complete Compound Interest Quiz?
Compound Interest Quiz runs on a 10-minute timer in real exam-style conditions. The clock starts the moment you click Start, mirroring the time pressure of the actual exam.
Are detailed solutions provided?
Yes. Every question on Compound Interest Quiz ships with a complete step-by-step solution, the underlying concept, and (where applicable) shortcut tricks. You can also discuss any question with the AajExam community.
Can I attempt Compound Interest Quiz multiple times?
Yes. You can attempt this quiz as many times as you like. Each attempt is recorded separately so you can track improvement in score, accuracy and time-management.
Which government exams does this quiz prepare me for?
Simple & Compound Interest questions appear regularly in SSC CGL, CHSL, MTS, GD; IBPS PO, Clerk; SBI PO, Clerk; RRB NTPC, Group D; UPSC prelims and most State PSC exams. The specific weightage varies by exam — check the exam pattern on the corresponding AajExam exam page for details.