Question

A sum of money was lent for two 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

Step-by-step explanation:

247Q:

A sum of money lent at compound interest for 2 years at 20% per annum would fetch Rs.482 more, if the interest was payable half yearly than if it was payable annually . The sum is

A) 10000

B) 20000

C) 40000

D) 50000

Answer: B) 20000

Explanation:

Let sum=Rs.x

C.I. when compounded half yearly = [x(1+10100)4−x]=464110000x1+101004-x=464110000

C.I. when compounded annually =[x(20100)2−x]=1125x201002-x=1125

464110000x−1125x=482464110000x-1125x=482

=> x=20000