Question

A sum of R12,500 is invested at 6% p.a. compounded annually for 2 years. Find the amount at the end of
$2 \times \frac{1}{2}$
years.​

Answer 1

Answer:

[tex]To find compound interest when interest is compounded half-yearly we use formula

A=P(1+ 2r) 2n

Here, P=Rs.12000,r-10% and n=1.5 years

Hence, A=12000(1+0.05) 3

A-12000x1.157625

A=Rs.13891.5