Under simple interest, how does the principal change from year to year?
AIt rises with each year
BIt falls with each year
CIt stays the same every year
DIt doubles every year
Answer & Solution
Correct answer: C. It stays the same every year
Simple interest is charged only on the original principal, which never changes.
Keep practising Simple & Compound Interest
Browse all Simple & Compound Interest questions for SSC CGL, or explore more Quantitative Aptitude topics.
Related questions
What principal grows to Rs 9,261 in 3 years at 5% compounded annually?CI on a sum at 10% for 2 years is Rs 2,310. What is the sum?At simple interest, a sum equals its interest after 5 years. Rate?Simple interest is one quarter of the sum, and the rate equals the years. Rate?A loan is cleared by two equal yearly instalments of Rs 1,210 at 10% CI. Loan amount?At 20% annually on Rs 1,000 for 2 years, how much more is CI than SI?Rs 5,000 earns 10% in year one and 20% in year two as compound interest. Final amount?A rate of 9% per annum means how much interest on each Rs 100 in a year?