Question

1 6. Mukesh borrowed 75000 from a bank. If the rate of interest is 12% per annum, find the amount he would be paying after 1 1/2 (one and a half year)if the interest is
(i) compounded annually
(ii) compounded half-yearly. ​

Answer 1

Answer:

R=12%

T=

2

3

years

To find the amount :

(i) when compounded annually,

A=P(1+

100

R

)

T

A=75000(1+

100

12

)

2

3

A=Rs.88897.2

(ii) when compounded half yearly,

A=P(1+

200

R

)

2T

A=75000(1+

200

12

)

2×

2

3

A=Rs.89326.2

Answer 2

Given that P = 75000

R = 12%

T

3

=

years

To find the amount: (i) when compounded annually,

P (1.

A P

1+

A 750001+

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A Rs.88897.2

(ii) when compounded half yearly, 2T P (1+210) ²² R

A =

A = 75000 (1+200) 2x 32

A = Rs.89326.2