Compound Interest
Question 1. Ramesh invests Rs. 12800 for three years at the rate of 10% per annum compound interest. Find :

(i) The sum due to Ramesh at the end of the first year.

(ii) The interest he earns for the second year.

(iii) The total amount due to him at the end of the third year.

Question 2. A man borrows Rs.5000 at 12% compound interest per annum, interest payable after six months. He pays back Rs.1800 at the end of every six months. Calculate the third payment he has to make at the end of 18 months in order to clear the entire loan.

Question 3. A man invests Rs.5000 for three years at a certain rate of interest, compounded annually. At the end of one year it amounts to Rs.5600. Calculate :

(i) the rate of interest per annum.

(ii) the interest occurred in the second year.

(iii) the amount at the end of the third year.

Question 4. The compound interest on a certain sum of money at 5% per annum for two years is Rs.246. Calculate the simple interest on the same sum for three years at 6% per annum.

Question 5. On a certain sum of money, the difference between the compound interest for a year, payable half-yearly, and the simple interest for a year is Rs.180. Find the sum lent out, if the rate of interest in both the cases is 10%.

Question 6. A certain sum amounts to Rs.5292 in 2 years and to Rs.5556.60 in 3 years at compound interest. Find the rate and the sum.

Question 7. The cost of car, purchased 2 years ago, depreciates at the rate of 20% every year. If its present worth is Rs.315600, find :
(i) its purchase price
(ii) its value after 4 years.