Question

Biswa decided to save money for a trip. He was
checking some investment options for saving,
but his friend Kalia suggested to check if he is
interested in compound interest. Biswa found a
bank that offers 6% compound interest
calculated on a half-yearly basis. To know in
detail, Biswa planned to deposit Rs. 20000 each
on 1st of January and 1st of July of that same
year. But Biswa is not that great at Math! Can
you help him know, what amount he would have
gained through interest by the end of the year?​

Answer 1

here

P= 20000

r= 6% = 6/2= 3% half yearly

t= 1/2 years

n= 1/2×2 = 1

A= P(1+r/100)¹

= 20000(1+6/100)¹

=20000×1.03

=20600

Now after 6 months he deposited another 20000

So

P= 20600+20000

= 40600

r= 6%= 3%

n= 1

A= 40600( 1+ r/100)¹

= 40600(1+0.03)

= 40600×(1.03)

= 41818

Amount gained(C.I)= 41818-40000= 1818

Also, you can do em together by taking the first principle anually + second principle half yearly.