Paper 4: Fundamentals of Business Mathematics & Statistic

1.10 I FUNDAMENTALS OF BUSINESS MATHEMATICS AND STATISTICS

Arithmetic

8. A man takes a loan of ` 10,000 at the rate of 6% S.I. with the understanding that it will be repaid with
   interest in 20 equal annual instalments, at the end of every year. How much he is to pay in each
   instalment? [Ans. 700.64]
   [Hints. 10,000 (1+20 ×.06) = P (1+19×.06) + P(1+18×.06) + ...P]


9. The price of a watch is 500 cash or it may be paid for by 5 equal monthly instalments of 110 each,
   the first instalment to be paid one month after purchase. Find the rate of interest charged.
   [Ans.^4267 %]


10. Divide 12,000 in two parts so that the interest on one part at 12.5% for 4 years is equal to the interest on the second part at 10% for 3 years. [Ans. 4500; ` 7500]


11. Alok borrowed 7500 at a certain rate for 2 years and 6000 at 1% higher rate than the first for 1 year.
    For the period he paid ` 2580 as interest in all. Find the two of interest. [Ans. 12%; 13%]


12. If the simple interest on 1800 exceeds the interest on 1650 in 3 years by ` 45, find the rate of interest
    p.a. [Ans. 10%]

Objective Question

1. At what rate of S.I. will 1000 amount to 1200 in 2 years? [Ans. 10%]


2. In what time will 2000 amount to 2600 at 5% S.I.? [Ans. 6 yrs.]


3. At what rate per percent will S.I. on 956 amount to 119.50 in^221 years? [Ans. 5%]


4. To repay a sum of money borrowed 5 months earlier a man agreed to pay 529.75. Find the amount borrowed it the rate of interest charged was^421 % p.a. [Ans. 520]


5. What sum of money will amount to 5200 in 6 years at the same rate of interest (simple) at which 1706 amount to 3412 in 20 years? [Ans. 4000]


6. A sum money becomes double in 20 years at S.I., in how money years will it be triple?
   [Ans. 40 years]


7. A certain sum of money at S.I. amount to 560 in 3 years and to 600 in 5 years. Find the principal and
   the rate of interest. [ Ans. ` 500; 4%]


8. In what time will be the S.I. on 900 at 6% be equal to S.I. on 540 for 8 years at 5%. [Ans. 4 years]


9. Due to fall in rate of interest from 12% to^1012 % p.a.; a money lender’s yearly income diminishes by 90. Find the capital. [Ans. 6000]


10. A sum was put at S.I. at a certain rate for 2 years. Had it been put at 2% higher rate, it would have
    fetched 100 more. Find the sum. [Ans. 10,000]


11. Complete the S. I. on 5700 for 2 years at 2.5% p.a. [Ans. 285]


12. What principal will be increased to 4600 after 3 years at the rate of 5% p.a. simple interest? [Ans. 4000]


13. At what rate per annum will a sum of money double itself in 10 years with simple interest?
    [Ans. 10%]