Question

A sum of money was lent for 2 years at 20% compounded annually. if the interest is payable half yearly instead of yearly then the interest is Rs 482 more . find the sum

Answer 1

Let sum=Rs.x

 

C.I. when compounded half yearly = x1+101004-x=464110000

 

C.I. when compounded annually =x201002-x=1125

464110000x-1125x=482

 

=> x=20000

Answer 2

Let the sum be=x,

x(1+10/100)4 -x(1+20/100)= 482

=> x(11/10)^4 -x(6/5)^ 2= 482

=> x (1.4641 - 1.44) = 482

=> 0.0241x = 482

x=> 4820.02414820.0241 = Rs.20000

Hence answer =20000