Aptitude - Simple Interest - Discussion
Discussion Forum : Simple Interest - General Questions (Q.No. 14)
14.
A person takes a loan of Rs. 200 at 5% simple interest. He returns Rs. 100 at the end of 1 year. In order to clear his dues at the end of 2 years, he would pay:
Answer: Option
Explanation:
| Amount to be paid |
|
|||||||||
| = Rs. 115. |
Discussion:
83 comments Page 3 of 9.
Shub said:
1 decade ago
The SI for 200 at the end of 1st year=(200*1*5)/100=10.
Hence total amount at the end of 1st year=200+10=210.
But he returns back RS 100 at the end of 1st year.
Hence principl amount for 2nd year=(210-100)=110.
Then SI at the end of 2nd year=(100*1*5)/100=5.
Hence total amount he needs to return at the end of 2nd year
= 110+5 = Rs 115
Hence total amount at the end of 1st year=200+10=210.
But he returns back RS 100 at the end of 1st year.
Hence principl amount for 2nd year=(210-100)=110.
Then SI at the end of 2nd year=(100*1*5)/100=5.
Hence total amount he needs to return at the end of 2nd year
= 110+5 = Rs 115
Steven said:
5 years ago
The difference between simple and compound interests.
Simple interest - interest is only on the principal amount.
Compound interest - interest is on both the principal amount and interest owing.
If it were compound interest the answer would have been 115.5 but it's simple interest hence the result is just 115.
The answer is Rs. 115
Simple interest - interest is only on the principal amount.
Compound interest - interest is on both the principal amount and interest owing.
If it were compound interest the answer would have been 115.5 but it's simple interest hence the result is just 115.
The answer is Rs. 115
(14)
Sahil said:
1 decade ago
Simple interest is ALWAYS calculated on the original principal.
Compound interest is calculated on the original principal plus the interest accumulated over the years.
If you apply compound interest method u will get 115.5
But if u apply simple interest you will get the correct answer which is 115.
Sahil EEE, B.E(hons) Bits Pilani
Compound interest is calculated on the original principal plus the interest accumulated over the years.
If you apply compound interest method u will get 115.5
But if u apply simple interest you will get the correct answer which is 115.
Sahil EEE, B.E(hons) Bits Pilani
Emailpurnendu@gmail.com said:
8 years ago
It is S.I.
For 1st yr he has to pay (200 x 1 x 5/100) = 10 (interest only),
Now he cleared Rs. 100. So remaining principle is (200-100) = rs. 100.
Hence, he has to pay (100 x 1 x 5/100) = 5 (interest only).
So, In total he has to pay [10(prv int.) + 5 (nxt int) + 100 (remaining principle)] = rs. 115.
Is it clear?
For 1st yr he has to pay (200 x 1 x 5/100) = 10 (interest only),
Now he cleared Rs. 100. So remaining principle is (200-100) = rs. 100.
Hence, he has to pay (100 x 1 x 5/100) = 5 (interest only).
So, In total he has to pay [10(prv int.) + 5 (nxt int) + 100 (remaining principle)] = rs. 115.
Is it clear?
Sarath said:
1 decade ago
Friends question is clear he taken loan Rs. 200 for two years so,
1st calculate simple interest for 2 years.
i.e S.I = 200*5*2/100 = 20.
So total amount = 200+20 = 220.
So he returns 100 rupees in 1st year = 220-100 = 120.
Rs. 120 is a right answer.
And 1st year he didn't give he give only Rs. 100.
1st calculate simple interest for 2 years.
i.e S.I = 200*5*2/100 = 20.
So total amount = 200+20 = 220.
So he returns 100 rupees in 1st year = 220-100 = 120.
Rs. 120 is a right answer.
And 1st year he didn't give he give only Rs. 100.
Sreehari said:
1 decade ago
Hello all.
115 is the correct answer.
200*0.05 = 210. But he paid 100. So, though the remaining amount is 110, interest is only for 100 as the case is simple interest. So 5 Rs on 100 plus 210-100. If this is the case of compound interest then, answer is 115.5, for now its 115.
115 is the correct answer.
200*0.05 = 210. But he paid 100. So, though the remaining amount is 110, interest is only for 100 as the case is simple interest. So 5 Rs on 100 plus 210-100. If this is the case of compound interest then, answer is 115.5, for now its 115.
Bhashkar Tiwary said:
1 decade ago
The answer should be 115.50.
It's very simple:
after one year- net amount will be= principal + interest
=200+(200*5*1)/100=210.
The person paid 100.
So new p is 110, so interest comes out to be=( 110*5*1)/100
=5.5
So total amt to be paid after 1 year gaain is = Rs. 115.50.
It's very simple:
after one year- net amount will be= principal + interest
=200+(200*5*1)/100=210.
The person paid 100.
So new p is 110, so interest comes out to be=( 110*5*1)/100
=5.5
So total amt to be paid after 1 year gaain is = Rs. 115.50.
Avinash kumar said:
1 decade ago
He had taken 200/- at r.p.a 5% at the end of 1st year it increases to 210 but he had paid 100/- . So 210-100=110 in 110 10/- is interest and remaining is 100/- so calculate interest for 100/- it is 5/- so add 100+10+5=115. So by the end of the 2nd year he have to pay 115/-.
Dharampal singh said:
1 decade ago
Hi guys its me dharampal singh. There is no confusion at all.
Please read problem carefully, particular problem is about simple interest not about compound interest. Interest has been charge on principle amount only not on interest. So answer is 115. Thanks you.
Please read problem carefully, particular problem is about simple interest not about compound interest. Interest has been charge on principle amount only not on interest. So answer is 115. Thanks you.
Rlnmurty said:
1 decade ago
Answer is wrong as per my knowledge. He paid 100 at the end of first year. Out of which 10 is interest. So he paid 90 as part of paying back his principle. So remaining principal which is interest chargeable is 110. So he has to pay 110+ (110*5*1) /100=115. 50.
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