New 👉 Ask your RBI Grade B 2025 Preparation Queries Here!!

    Register

    Question

    Simple interest and compound interest (compounded

    annually) earned on a sum at the end of 2 years at a certain rate of interest p.a. are Rs. 1100 and Rs. 1144 respectively. Find the rate of interest.
    A 10% Correct Answer Incorrect Answer
    B 5% Correct Answer Incorrect Answer
    C 4% Correct Answer Incorrect Answer
    D 8% Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    Simple interest for 1 year = 1100/2 = Rs. 550 Difference between compound Interest and Simple Interest for 2 years = 1144 – 1100 = Rs. 44 Desired rate = 44/550 × 100 = 8%

    Practice Next