Question

calculate the amount and the compound interest on rupees 10000 for 6 months at 12% per annum, compounded annually

Answer 1

Step-by-step explanation:

ANSWER

P=Rs. 10000

T=12 months=1year

R=10% p.a

Compounded quarterly

∴n=4

A=P(1+

n

R

)

nT

=10000[1+

4

10

]

4×1

=10000×(

4

14

)

4

=10000×(

2

7

)

4

=

2×2×2×2

10000×7×7×7×7

A=Rs. 1500625

Compound Interest=Amount−P

=Rs. (1500625−10000)

=Rs. 1490625.