Question

Bela borrowed 25000 from a finance company to start her boutique at 20% per annum compounded half yearly what amount of money will clear her debt after 1 1\2 year

Answer 1

plz check and let me know if there is any wrong

Answer 2

Answer:

$\red { Amount \: money \: at \:end \: of \: 1\frac{1}{2}\: years (A) }$

$\green {= Rs\:33275}$

Step-by-step explanation:

$Principal (P) = Rs \:25000\\Rate \:of \: interest (r) = 20\% \:per \: annum \\= \frac{1}{2}\times 20\%\\=10\% \: per \:half \: yearly$

/* As interest is compounded half yearly, so number of conversion periods in 1½ years is 3, So

n = 3

Let Amount money = A

$\boxed { \pink { A = P\left( 1+\frac{r}{100}\right)^{n}}}$

$A = 25000\left( 1 + \frac{10}{100}\right)^{3}\\= 25000\left( 1+0.1\right)^{3}\\= 25000 \times (1.01)^{3}\\= 25000 \times 1.1\times 1.1\times 1.1$

$= Rs\:33275$

Therefore.,

$\red { Amount \: money \: at \:end \: of \: 1\frac{1}{2}\: years (A) }$

$\green {= Rs\:33275}$

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