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CAT Exam Success: Mastering Loans, Installments, Ranking, and Past Tense Made Easy- Day 11

CAT Exam Success: Mastering Loans, Installments, Ranking, and Past Tense Made Easy- Day 11

Edited By Irshad Anwar | Updated on Sep 13, 2023 05:31 PM IST | #CAT

As the CAT 2023 exam date is approaching, you will get to know how to study for CAT in 2 months, what strategy to use, which sources are the best for theory and practice, or about the CAT exam preparation time required, Can I crack CAT in 2 months, how many months preparation is required for CAT, how to prepare for CAT in 2 months, or is there any CAT study plan for 2 months and many more. You might be looking for a CAT 2-month crash course.

CAT Exam Success: Mastering Loans, Installments, Ranking, and Past Tense Made Easy- Day 11
CAT Exam Success: Mastering Loans, Installments, Ranking, and Past Tense Made Easy- Day 11

Based on the CAT syllabus 2023, we have created a preparation strategy to ace the CAT Exam. We have covered a strategy for every single day up to 10 days. In the previous article, we discussed the CAT Exam strategy on how to Solve the problems involving Simple Interest and Compound Interest, Blood relations, and tenses (Part 1) on Day 10 of CAT preparation.

We're back with a strategy for Day 11 of our CAT preparation for CAT 2023. In this article, we will be discussing strategies for the following topics, including simple interest installment questions and common CAT questions.

Follow the 60-day CAT exam preparation schedule we prepared for you to get a flow, plan, and schedule for your preparation.

Part-1: Quantitative Aptitude For CAT 2023

Topic: Loans And Instalments

When you take a loan from an agency and return it in parts after regular intervals. The amount returned at regular intervals is an installment.

CAT Aptitude Questions

CAT Questions on Installments and CAT Questions on Loans are categorized based on whether the interest rate is simple interest or compound interest.

Simple Interest Installment Questions

Suppose Anil purchased a television worth Rs 18000 paying Rs 10000 cash down payment and every month a fixed installment has to be paid for the next 6 months where interest is charged @ 10% per month on simple interest.

You need to calculate the value of EMI.

First, you need to calculate debt (Amount due after 6 months if paid in a single time)

Principal = 18000 – 10000 = Rs 8000

Debt = 8000 + 8000 x 10 x 6/100 = Rs 12800

First instalment after 1st month = Rs 100x (Let)

Amount due after 1 month = Rs 12800 – 100x - 100x*5*10/100 = Rs 12800 – 150x

(Instalment amount and Interest for 5 months have to be subtracted from the amount due since 100x is returned after one month and interest is added for 6 months in the original amount due)


Amount due after 2 months = Rs 12800 – 150x – 100x- 100x*4*10/100

= Rs 12800 – 290x

(Instalment amount and Interest for 4 months have to be subtracted from the amount due since 100x is returned after two months and interest is added for 6 months in the original amount due)


Amount due after 3 months = Rs 12800 – 290x -100x- 100x*3*10/100

= Rs 12800 – 420x

(Instalment amount and Interest for 3 months have to be subtracted from the amount due since 100x is returned after three months and interest is added for 6 months in the original amount due)


Amount due after 4 months = Rs 12800 – 420x -100x- 100x*2*10/100

= Rs 12800 – 540x

(Instalment amount and Interest for 2 months have to be subtracted from the amount due since 100x is returned after four months and interest is added for 6 months in the original amount due)


Amount due after 5 months = Rs 12800 – 540x -100x- 100x*1*10/100

= Rs 12800 – 650x

(Instalment amount and Interest for 1 month have to be subtracted from the amount due since 100x is returned after five months and interest is added for 6 months in the original amount due)


Amount due after 6 months = Rs 12800 – 650x -100x

(The instalment amount has to be subtracted from the amount but interest is not subtracted since 100x is returned after six months and interest is added for 6 months in the original amount due)


After payment of all installments, the amount due = 0

So, Rs 12800 – 650x -100x = 0

x = 17.067

100x = Rs 1706.7

Instalments At Compound Interest

Let a person take a loan from an agency at r% per annum compounded annually and pay the loan in equal installments for n years.

Then, the value of each installment can be calculated by the given formula:

Amount due after n years = P (1 + r/100)n

If paid in installments, the amount due must be equal to

P (1 + r/100)n = X (1 + r/100)n-1 + X (1 + r/100)n-2 + X (1 + r/100)n-3+….+ X (1 + r/100)

Where, X = Instalment value

Questions and MCQs on Loans and advances and CAT questions on Installments (SI and CI) can be divided into sub-categories during CAT preparation:

  • Questions that involve calculations of installment value.
  • Questions that involve calculations of the rate of interest charged.
  • Questions that involve calculations of debt.
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CAT Model Questions And Answers From CAT Previous Year Papers

Q1. John borrowed Rs. 2,10,000 from a bank at an interest rate of 10% per annum, compounded annually. The loan was repaid in two equal installments, the first after one year and the second after another year. The first installment was the interest of one year plus part of the principal amount, while the second was the rest of the principal amount plus due interest thereon. Then each installment, in Rs., is [CAT Question Paper 2018, TITA]

Ans:

P = 210000, n = 2, r =10

Using,

P (1 + r/100)n = X (1 + r/100)n-1 + X (1 + r/100)n-2 + X (1 + r/100)n-3+….+ X (1 + r/100)

So, 210000(1 + 10/100)2 = X (1 + 10/100)2-1 + X (1 + 10/100)2-2

So, 210000(121/100) = X (11/10) + X

So, 2100x 121 = X (21/10)

X = 121000

X is the value of the installment each year.

Q2. Rahul takes a loan of Rs 150000 at an interest rate of 20% compound interest, which is compounded annually. He agrees to pay three equal installments in three years, one installment at the end of every year. Find the value of each installment. [CAT Question Paper - sample paper]

  1. Rs 71209

  2. Rs 68349

  3. Rs 76484

  4. Rs 72904

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Ans: (a)

P = 150000, n = 3, r =20

Using,

P (1 + r/100)n = X (1 + r/100)n-1 + X (1 + r/100)n-2 + X (1 + r/100)n-3+….+ X (1 + r/100)

So, 150000(1 + 20/100)3 = X (1 + 20/100)3-1 + X (1 + 20/100)3-2 + X (1 + 20/100)3-3

So, 150000(216/125) = X (36/25) + X(6/5) + X

So, 150000(216/125) = X (91/25)

X = 71209

X is the value of the installment each year.


Prerequisite For CAT Questions On Installments

To prepare this topic for the CAT exam, students must know of

  1. Fractions and percentages on fingertips.

  2. Successive Changes

  3. Simple Interest and Compound Interest

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References to Study (Theory)

  • Quantitative Aptitude for CAT by N K Sinha
  • Dinesh Miglani Tutorials for CAT IPM CLAT SSC BANK

References to Study (Practice)

Part 2: Logical Reasoning And Data Interpretation:Topic: Ranking (LR)


Ranking is the process of determining the position or place of a person or thing based on comparison and other information given in the questions for the CAT exam.

It is one of the most important parts of LR for the CAT exam...

Ranking: Questions Type Asked In CAT Exam

The position/Ranking of the person is asked from the bottom/ left/ right/ top.

Questions based on swapping of positions.

Questions are based on the number of persons between two positions.

Questions based on finding the total number of objects or persons.


Approaches And Tips To Solve The CAT Question Paper On Ranking

  1. A total number of persons in a row = (sum of positions of the same person from both sides) – 1

  2. Ex: Sunil is 16th from either end of a row; the total number of persons in the row = 16+ 16 -1 = 31.

  1. If the position of a person/ object from one end is n, and the total number of persons/objects in the row is m; then the position of the same person from the other end will be (m- n +1)

  2. While calculating the number of places between two persons, cases of overlapping and non-overlapping should be treated differently.

  3. Analyze the given information in the question by thorough reading.

  4. Use visualization/imagination skills.

  5. Try to draw all the possibilities and eliminate the wrong one.

Questions On Ranking (LR) From CAT Previous Year Papers

These questions can help you build the concept of ranking: (Based on the CAT exam):

Q1. In a queue, Antara is 19th from the front while Manthara is 28th from behind and Lolita is just in the middle of the two. Consider that there are 50 people in the queue. What position does Lolita occupy from the front? [CAT sample paper]

  1. 20th

  2. 19th

  3. 18th

  4. 21st

Ans: d

Total persons sitting between Antara and Manthara = 50 – 19 – 28 = 3

Lolita is in the middle of the two; So, Antara and Lolita have just 1 person between them. Therefore, Lolita must be at 21st from the front.

Q2. In a row of boys, Ritesh and Manish occupy the 7th place from the right end and 9th place from the left end, respectively. Now if they interchange their places, Ritesh and Manish occupy 25th place from the right and 27th place from the left, respectively. How many boys are present in the row?

  1. 35

  2. 26

  3. 33

  4. Cannot be determined

Ans: c

Ritesh's Position from the right end = 7; Now Manish occupies the position of Ritesh which is 27th from the left.

So, total number of boys = 7+ 27- 1 = 33


Prerequisite For CAT Preparation:

To Prepare the questions based on Ranking for CAT 2023, a student must know of:

  • Basic Additions and subtractions
  • Sequence and Series

References to Study (Theory):

  • Verbal and Non-Verbal Reasoning by R S Aggarwal.
  • 2IIM CAT Preparation (YouTube Channel)

References to Study (Practice):

  • Verbal and Non-Verbal Reasoning by R S Aggarwal. (Basic)
  • LRDI for CAT and GMAT by Nishit K Sinha. (Advance)
  • CAT previous year papers and CAT sample paper

Part-3: VARC Topic: -Tenses Part-2 (Past Tense)


As discussed in the previous article, tenses are divided into three types for easy CAT preparation. Today we are going to discuss, Past Tense.

Past tense is used to describe the event that has occurred in the Past.

Past Tense can further be divided into four categories to indicate the action as follows:

  • Simple Past Tense/ Past Indefinite Tenses: denotes habitual action in the past. The action has already finished in the past but the time of action is not definite.
    Example: Geetha studied at IIM Ahmedabad.
  • Past Perfect Tense: it refers to an action that happened before another event.
    Example: Rubeena had finished her work.
  • Past Continuous Tense: denotes an action that was progressing in the past.
    Example: Sneha was eating pizza.
  • Past Perfect Continuous Tense: denotes an action that was in progress before another event in the past.
    Example: Seema had been going to school.

CAT questions on Past tense an d Past participle from Previous year papers

Q1. I met the director yesterday, and he assured me that he will help if you will ask him. [CAT previous year papers]

  1. have met the director yesterday, and he assured me that he will help if you ask him.

  2. met the director yesterday, and he assured me that he would help if you asked him.

  3. met the director yesterday, and he assured me that he would help if you asked him.

  4. No correction required

Ans: (b)

With ‘yesterday’, the Past indefinite tense should be used.

Option (c) is wrong because in “he will help if you will ask him”, The verb 'will help' is in the future, which is the result of a condition ‘if you will ask’ and both cannot be in the future.

Q2. The Chief Proctor……… into the classroom to see what the students ……….

  1. Go, had been doing

  2. Went, was doing

  3. Gone, had been doing

  4. Went, were doing

Ans: (d)

Past indefinite with past continuous tense (For progressive work) is to be used.

Prerequisite For Tenses:

  • Basic Knowledge of Verbs and their forms.
  • Knowledge of the use of helping verbs (Was/Were/had/had been)
  • Knowledge of Nouns/Pronouns.

Tips For Error Correction In Past Tenses:

  • Learn the rules of all types of past tenses.
  • Read good Newspapers which use correct grammar (like The Hindu).
  • Do basic exercises on Past tense.
  • Attempt Mock-Tests.

References to Study (Theory):

  • How to Prepare for Verbal Ability & Reading Comprehension for CAT by Meenakshi Upadhyay and Arun Sharma (9th Edition)
  • Learn English with Rebecca · engVid (YouTube Channel)
  • Class (VI-VIII) NCERT for basic grammar rules.

References to Study (Practice):

  • engvid.com (Web)
  • Wren and Martin (sixth edition)
  • Practice CAT Sample Papers.

Do practice, be focused, and wait for the CAT strategy to prepare for day 12 (Practice Set-3) tomorrow.

Thank You

All the best.

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Questions related to CAT

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Key points:

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2. The cutoff ranks for BTech CS branch at these institutes are usually much higher, often in the range of 1000-2000 for the general category.

3. With a category rank of 433, you may have a better chance of getting admission in the reserved category quota, but the competition is still quite high.

4. The search results do not provide specific cutoff details for BIT Sindri or NIT Mesra, but the general trend suggests your current ranks may not be sufficient for the CS branch in these institutes.

My advice would be to:

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3. Consider improving your performance in the next attempt of the entrance exam to increase your chances of getting into your desired BTech program.



For VARC, read daily from diverse sources (newspapers, novels, journals) to improve comprehension and vocabulary. Practice RC passages and verbal ability questions regularly. For DILR (Data Interpretation and Logical Reasoning) and QA (Quantitative Aptitude), solve previous years' papers and take mock tests to identify weak areas. Join a coaching institute or online courses for guidance and stay consistent with your study schedule. Review and analyze your performance in mocks to understand mistakes and improve. Maintain a positive mindset and stay disciplined in your preparation.

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View All

1-radian measures 600. (True/False)

Option: 1

True


Option: 2

False


$111111^2$ = 

Option: 1

123456654321


Option: 2

123454321


Option: 3

123454321


Option: 4

12345654321


1111112 =___________ 

Option: 1

 123456654321


Option: 2

1234554321


Option: 3

123454321


Option: 4

12345654321


159702 is divisible by

Option: 1

7


Option: 2

9


Option: 3

11


Option: 4

6


1600 satellites were sent up by a country for several purposes. The purposes are classified as broadcasting (B), communication (C), surveillance (S), and others (O). A satellite can serve multiple purposes; however a satellite serving either B, or C, or S does not serve O. 

The following facts are known about the satellites: 

1. The numbers of satellites serving B, C, and S (though may be not exclusively) are in the ratio 2: 1:1. 

2. The number of satellites serving all three of B, C, and S is 100. 

3. The number of satellites exclusively serving C is the same as the number of satellites exclusively serving S. This number is 30% of the number of satellites exclusively serving B. 

4. The number of satellites serving O is the same as the number of satellites serving both C and S but not B. 

Question:

What best can be said about the number of satellites serving C? 

Option: 1

Must be between 450 and 725 

 


Option: 2

Cannot be more than 800 
 


Option: 3

Must be between 400 and 800 

 


Option: 4

Must be at least 100 


1600 satellites were sent up by a country for several purposes. The purposes are classified as broadcasting (B), communication (C), surveillance (S), and others (O). A satellite can serve multiple purposes; however a satellite serving either B, or C, or S does not serve O. 

The following facts are known about the satellites: 

1. The numbers of satellites serving B, C, and S (though may be not exclusively) are in the ratio 2: 1:1. 

2. The number of satellites serving all three of B, C, and S is 100. 

3. The number of satellites exclusively serving C is the same as the number of satellites exclusively serving S. This number is 30% of the number of satellites exclusively serving B. 

4. The number of satellites serving O is the same as the number of satellites serving both C and S but not B. 

Question:

What is the minimum possible number of satellites serving B exclusively? 

Option: 1

100


Option: 2

200


Option: 3

500


Option: 4

250


1600 satellites were sent up by a country for several purposes. The purposes are classified as broadcasting (B), communication (C), surveillance (S), and others (O). A satellite can serve multiple purposes; however a satellite serving either B, or C, or S does not serve O. 

The following facts are known about the satellites: 

1. The numbers of satellites serving B, C, and S (though may be not exclusively) are in the ratio 2: 1:1. 

2. The number of satellites serving all three of B, C, and S is 100. 

3. The number of satellites exclusively serving C is the same as the number of satellites exclusively serving S. This number is 30% of the number of satellites exclusively serving B. 

4. The number of satellites serving O is the same as the number of satellites serving both C and S but not B. 

Question:

If at least 100 of the 1600 satellites were serving O, what can be said about the number of satellites serving S? 

Option: 1

At most 475 

 


Option: 2

Exactly 475 
 


Option: 3

At least 475 

 


Option: 4

No conclusion is possible based on the given information 


1600 satellites were sent up by a country for several purposes. The purposes are classified as broadcasting (B), communication (C), surveillance (S), and others (O). A satellite can serve multiple purposes; however a satellite serving either B, or C, or S does not serve O. 

The following facts are known about the satellites: 

1. The numbers of satellites serving B, C, and S (though may be not exclusively) are in the ratio 2: 1:1. 

2. The number of satellites serving all three of B, C, and S is 100. 

3. The number of satellites exclusively serving C is the same as the number of satellites exclusively serving S. This number is 30% of the number of satellites exclusively serving B. 

4. The number of satellites serving O is the same as the number of satellites serving both C and S but not B. 

Question:

 If the number of satellites serving at least two among B, C, and S is 1200, which of the following MUST be FALSE? 

Option: 1

The number of satellites serving C cannot be uniquely determined 

 


Option: 2

The number of satellites serving B is more than 1000 
 


Option: 3

All 1600 satellites serve B or C or S 

 


Option: 4

The number of satellites serving B exclusively is exactly 250 


2839155 is divisible by

Option: 1

2


Option: 2

7


Option: 3

55


Option: 4

None of the above


'a' for which x^{2}-ax+9= 0 can be written as square of a linear factor is

Option: 1

6


Option: 2

-6,6


Option: 3

\left ( 6,\infty \right )


Option: 4

\left ( -\infty,-6 \right )


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