Question

Find out compound half early and amount if P = 40000 R = 12% per annum time = 2.5 years​

Answer 1

Given:

$P=40000, R=12$% and $t=2.5 years$

We have to find the amount that compounds half early.

For which we are using the formula of amount for compound half early.

i.e. $A=P[1+(\frac{R}{2} *\frac{1}{100}) ]^{T}$

Where time = $T*2$

here,

$P=40000, R=12$% and $t=2.5 years$

$A=40000[1+(\frac{12}{2} *\frac{1}{100}) ]^{2.5*2}\\\\=>A=40000[1+(\frac{12}{2} *\frac{1}{100}) ]^{5}$

$=>A=53529.0231$

Hence, The amount is $53529.0231$