can someone please explain this step by step
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Principal =7000, R =4%, n =2 (∵ semiannually compounded),
t =3 years
Using the formula, we have
A=P(1+100R)n.t
⇒A=7000(1+1004)2×3
⇒A =7000×(1.04)6
⇒A =7000×1.26531902
Amount =8857.23
Compound interest = Amount − Principal
=8857.23−7000
Compound interest =1857.23 Rs.
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Hope it helped
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