Question

Find CO on Rs 12600 for 2 year at 10% per annum compounded annually.

Answer 1

Compounded Annually

P = 12600

R = 10%

T = 2

A = P( 1  +r /100)n

A = 12600(1 + 10/100)2

A = 12600(11/10)2

A = 12600 * 121/100

A = 126 * 121

A = 15246

CI = A - P

= 15246 - 12600

CI = 2646

Compounded Half Yearly

A = P( 1  +r/100)n

A = 12600( 1 + 10/100 *1/2)2*2

A = 12600(21/20)4

A = 12600 * 194481/160000

A = 15315.3787

CI = A - P

CI = 15315.3787 - 12600

CI = 2715.37875

Answer 2

2646 is the ci hope it helps