Economics · Banking and Financial Mathematics
Consider the following statements regarding interest calculation and banking products in India: Statement I: For a savings bank account, interest is calculated on a daily product basis on the daily closing balance. Statement II: In a Cumulative Fixed Deposit, interest is compounded quarterly. Statement III: A 'Step-up Loan' where the EMI increases periodically is mathematically treated as a growing annuity. Statement IV: The 'Rule of 72' gives the exact doubling time with zero margin of error. Statement V: In a monthly reducing balance loan, the interest portion of the EMI remains constant throughout the tenure. Which of the above statements are correct?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1Only I, II, and III✓
- 2Only II and III
- 3Only IV and V
- 4All statements are correct
Correct answer
Only I, II, and III
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Start Free Mock Test →Preparing for Economics?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice Banking and Financial Mathematics MCQs →Want more practice questions on Banking and Financial Mathematics?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Economics · Banking and Financial Mathematics