Simple Interest Questions and Answers with Solution for Competitive Exams. Important and repeated solved questions from the previous year exam question paper of SSC CGL, CHSL, CPO, GD, IBPS Bank, with formula. fundamental and short tricks. Free Online practice of Simple Interest questions for the study of Govt jobs examinations.

**Formula **

Simple Interest =

P = Principal Amount

R = Rate of Interest per year

T= Time (Number of Years)

### Questions based on Basic Formula of Simple Interest

**Q.1: In what time will ₹8000 at 3% per annum produce the same interest as ₹6000 does in 5 years at 4 % simple interest?**

a) 5 years

b) 6 years

c) 3 years

d) 4 years

###### Show Answer

Simple Interest for ₹6000 = =₹1200

For ₹8000

Time = = 5 years

**Q:2: If a sum of money amounts to ₹12900 and ₹14250 at the end of 4th year and 5th year respectively at a certain rate of simple interest, then the rate of interest is:**

a) 10%

b) 12%

c) 18%

d) 20%

###### Show Answer

One year Interest = 14250 -12900 = 1350

4 year Interest = 1350×4= 5400

Principal Amount = 12900 – 5400 = 7500

Rate of Interest = =18%

**Q.3: The sum lent at 5% per annum (i.e.,365 days) simple interest that produces interest, of ₹2.00 per day is :**

a) ₹ 1400

b) ₹ 14700

c) ₹ 14600

d) ₹ 7300

###### Show Answer

Total Interest in one year = 365 x2 = 730

P =

**Q.4 : A lent ₹5000 to B for 2 years and ₹3000 to C for 4 years on simple interest at the same rate of interest and received ₹2200 in all from both as interest. The rate of interest per annum is**:

a) 7%

b) 5%

c) 8%

d) 10%

###### Show Answer

=> R = 10%

**Q.5: A sum of money at some rate of simple interest amounts to ₹2900 in 8 years and to ₹3000 in 10 years. The rate of interest per annum is :**

a) 4%

b) 3%

c) 2.5%

d) 2 %

###### Show Answer

Interest of two years = 3000-2900 =100

Interest in 10 years = 500

Principal = 3000 – 500 = 2500

Rate = = 2%

### Principal amount becomes n Times of Itself in t Years at a Certain Rate of Simple Interest

**Q.6: A sum amounts to double in 8 years by simple interest. Then the rate of simple interest per annum **is :

a) 10%

b) 12.5%

c) 15%

d) 20%

###### Show Answer

Simple Interest is equal to P

R=> 12.5%

**Q.7: A sum of money at simple interest triples itself in 15 years. It will become 5 times of itself in :**

a) 40 years

b) 36 years

c) 30 years

d) 25 years

###### Show Answer

Simple Interest in 15 years = 3P-P = 2P

=> %

For Amount become 5 times, SI = 4P

4P =

=> T = 30 years

**Q.8: The simple interest on a sum for 5 years is one fourth of the sum. The rate of interest per annum is :**

a) 5%

b) 6%

c) 4%

d) 8%

###### Show Answer

R = 5%

### Difference and Equality of Simple Interest Rate and Years

**Q.9: A person deposited ₹500 for 4 years and ₹600 for 3 years at the same rate of simple interest in a bank. Altogether he received ₹190 as interest. The rate of simple interest per annum was**

a) 4%

b) 5%

c) 2%

d) 3%

###### Show Answer

20R + 18R =190 => R = 5%

**Q.10: The difference between the simple interest received from two different banks on ₹500 for 2 years is ₹2.50. The difference between their (per annum) rate of interest is : **

a) 0.10%

b) 0.25%

c) 0.50%

d) 1.00%

###### Show Answer

R1 – R2 = 0.25%

### Simple Interest Ratios : Questions for Competitive Exams

**Q.11: If the ratio of principal and the simple interest for 5 years is 10 : 3, then the rate of interest is :**

a) 5%

b) 6%

c) 8%

d) 3%

###### Show Answer

Ratio = 10 : 3, Principal = 10P, Interest 3P

=> R = 6%

### Increase/decrease in Rate of Interest

**Q.12: ₹ 800 amounts to ₹ 920 in 3 years at simple interest. If the interest rate is increased by 3%, it would amount to :**

a) ₹ 1056

b) ₹ 1112

c) ₹ 1182

d) ₹ 992

###### Show Answer

Simple Interest in 3 years = 920 -800 = 120

Rate of Interest (R) = 5%

New Rate of Interest = 5+3 = 8%

Simple Interest =

Amount become = 800 + 192 =₹ 992

**Q.13: A sum of money was invested at a certain rate of simple interest for 2 years. Had it been invested at 1% higher rate, it would have fetched ₹ 24 more interest. The sum of money is :**

a) ₹ 1200

b) ₹ 1050

c) ₹ 1000

d) ₹ 9600

###### Show Answer

P = ₹ 1200

**Q.14: John invested a sum of money at an annual simple interest rate of 10%. At the end of four years the amount invested plus interest earned was ₹ 770. The amount invested was :**

a) ₹ 650

b) ₹ 350

c) ₹ 550

d) ₹ 500

###### Show Answer

Simple Interest =

=> 770 x5 – 5P =2P

=>7P = 770 x 5, => P = 550

Thanks for attempt Simple Interest Questions for Upcoming NRA CET and other Competitive Exams

**Maths Topic wise Questions for Competitive Exams – NRA STUDY**