1. Find the amount and the compound interest on 3120000 at 8% per annum for 1 year, compounded
half-yearly.
2. Find the amount and the compound interest on 32500 for 1 year; at 12% per annum, compounded
half yearly
3. Calculate the amount and the compound interest on 24000 for 1 1 years at 10% per annum, compounded half-yearly.
4. Calculate the amount and the compound interest on 10000 for 6 months at 12% per annum, compounded quarterly.
5. Calculate the amount and the compound interest on 15625 for 9 months at 16% per annum, compounded quarterly.
6. Calculate the amount and the compound interest on 2560000 for 1 year at 10% per annum, compounded quarterly.
Answers
Answer:
1. Example 1
Find the compound interest on Rs 1000 for two years at 4% per annum.
Solution: Principal for the first year =Rs 1000
SI\quad =\frac { P\times R\times T }{ 100 } \\ SI\quad for\quad 1st\quad year\quad =\frac { 1000\times 4\times 1 }{ 100 } \\ SI\quad for\quad 1st\quad year\quad =Rs\quad 40
SI=
100
P×R×T
SIfor1styear=
100
1000×4×1
SIfor1styear=Rs40
Amount at the end of first year =Rs1000 + Rs 40 = Rs 1040. Principal for the second year = Rs1040
SI\quad for\quad 2nd\quad year\quad =\frac { 1040\times 4\times 1 }{ 100 }
SIfor2ndyear=
100
1040×4×1
SI\quad for\quad 2nd\quad year\quad =Rs\quad 41.60
SIfor2ndyear=Rs41.60
Amount at the end of second year,
Amount=Rs1040+Rs41.60=Rs1081.60
Amount=Rs1040+Rs41.60=Rs1081.60
Therefore,
Compound\quad interest=Rs(1081.60–1000)=Rs81.60
Compoundinterest=Rs(1081.60–1000)=Rs81.60
Remark: The compound interest can also be computed by adding the interest for each year.
Browse more Topics under Compairing Quantities
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Discount and Commissions
Growth and Depreciation
Profit and Loss
Ratio and Percentage
Tax
Compound Interest when Compounded Half Yearly
Step-by-step explanation: