Question

(e) 10,000 for 1 year at 8% per annum compounded half yearly.calculate the amount and compoud interest.​

Answer 1

Principal, P =Rs.10000,  Rate, R = 8% per annum compounded half yearly for one year. There are two half years in a year. Therefore compounding has to be 2 times.  

 rate = half of 10% = 5% half yearly.

Therefore, the required amount = 10000(1+\frac{4}{100})^{2}  = Rs. 10816

And Compound Interest, C.I. = Amount - Principal = Rs. (10816 - 10000) = Rs. 816.