Question

Calculate the Compound Interest for 2 years at the rate of 10% while the Principal Amount is Rs.10000​

Answer 1

Answer:

First we recall the definition and formula of compound interest and then calculate the compound interest. The formula used to calculate the compound interest is

Compound interest = Amount – Principal

And Amount =P(1+R100)T

Where, P= Principal

R=

Rate of interest

T=Time period

Complete step by step answer:

Now, we have given that Principal sum =10,000

Rate of interest =4 per annum

Time period =2 years

We have given that the compound interest being compounded half yearly, so the time period will be 4 yearsand the rate of interest will be half i.e. 2 because when interest is compounded half yearly the rate of interest will be R2.

Now, we have to calculate the Amount, so we put all values in the formula

Amount =P(1+R100)T

⇒10000(1+2100)4

⇒10000(1+150)4⇒10000×(5150)×(5150)×(5150)×(5150)⇒10.2×10.2×10.2×10.2⇒10824.32

The Amount will be Rs. 10824.32

Now we have to calculate compound interest.

We know that Compound interest = Amount – Principal

Putting the values, Compound interest will be

=10824.32−10000=824.32

So, the compound interest on Rs 10000 in 2 years at 4 per annum being compounded half yearly is Rs.824.32.

Answer 2

Answer:

₹ 12321

Step-by-step explanation:

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