Question

A bank offers 5% compound interest calculated on half-yearly basis. a customer deposits rs. 1600 each on 1stjanuary and 1st july of a year. at the end of the year, the amount he would have gained by way of interest is: rs. 120 rs. 121 rs. 122 rs. 123

Answer 1

I=PRT/100
I1=40
I2=41
I3=42.025
I=rs42.025