Question

Find the amount and compound interest on Rs.10,000 for
a) 1 years at 10% per annum compounded half yearly.
b) 3 years at 10% per annum compounded annually.​

Answer 1

Answer:

years

Rate = 10% per annum

CASE 1 Interest on compounded half yearly.

Rate = 10% per annum = 5 % per half yearly

= Amount

CI = Amount - principal

CI =

CI = 1576.25

CASE 2 Interest on compounded anually

Rate = 10% per annum

= Amount

CI = Amount - principal

CI =

CI = 1000

Interest for half years on 11000 =

= 550

Total interest =

= RS 1550

Since 1576.25

1000

Thus, interest would be more in CASE 1 i.e. compounded half yearly