Question

1. Find the C.I. if the interest is compounded
annually
(1) Rs. 2000, Rate = 5%, Time = 3 years.
1
(ii) Rs. 18,000 for 2 years at 10% per
2
annum compounded annually.
(it) Rs. 8,000 for 1 year at 9% per annum
compounded half yearly.
(iv) Rs. 10,000 for 1 year at 8% per annum
compounded half yearly.​

Answer 1

Step-by-step explanation:

(i) Rs. 2000, Rate = 5%, Time = 3 years.

CI = P(1+r)^t

CI = 2000(1+0.05)^3

CI = 2000(1.05)^3

CI = 2000*1.157625

CI = 2315.25

(ii) Rs. 18,000 for 2 years at 10% per annum compounded annually.

CI = P(1+r)^t

CI = 18000(1+0.1)^2

CI = 18000(1.1)^2

CI = 18000*1.21

CI = 21858

(iii) Rs. 8,000 for 1 year at 9% per annum compounded half yearly.

r = 9/2 = 4.5%

CI = P(1+r/n)^(nt)

CI = 8000(1+0.045)^(2*1)

CI = 8000(1.045)^2

CI = 8000*1.091225

CI = 8,729.80

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

r = 8/2 = 4%

CI = P(1+r/n)^(nt)

CI = 10000(1+0.04)^(2*1)

CI = 10000(1.04)^2

CI = 10000*1.0816

CI = 10816

Here n is the number of times the interest is compounded in a year.