Question

1. Calculate the amount and compound interest on

(a) 10,800 for 3 years at 125 % per annum compounded annually. 2 1

(b) *18,000 for 23 years at 10% per annum compounded annually.

(c) 62,500 for 1 years at 8% per annum compounded half yearly.

(d) 8,000 for 1 year at 9% per annum compounded half yearly. (You could use the year by year calculation using SI formula to verify).

(e) 10,000 for 1 year at 8% per annum compounded half yearly.​

Answer 1

1) 10,800 for 3 years at 12.5% per annum is compounded annually is Rs. 15377.343. This is the required answer

2) the images are answer of question b

3) Given,

Principal,P =Rs 62500,

Compound interest Rate,R = 8% compounded half yearly for 1.5 years.

Since it is compounded half yearly, R becomes half = 4%, and time period doubles, n = 3 years.

We know, Amount when interest is compounded annually, A =

Therefore, the required amount =

= Rs.70304

And Compound Interest, CI = Amount - Principal = Rs. (70304 - 62500) = Rs. 7804

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