Question

Find the amount of Rs 6400 in 1 year 6 months at 5 per
cent compound interest, interest being calculated half
yearly
a) Rs 6882.10
b) Rs 6892.10
c) Rs 6982.10
d) None of these​

Answer 1

Answer:

The Correct Answer is option B

The Amount to be paid will be 6892.10 Rs

Step-by-step Explanations :

Given : Principal (P) = 6400

Rate of interest (R) = 5%

Time (n) = 1 year 6 month = 1 and 1/2 year = 3/2 year

To find: Amount to be paid = ?

We know that,

Amount after 1 and 1/2 year = P × ( 1 + R/200 )^ 2n

Substituting the given value in above formula we get,

Amount after 1 and 1/2 year = 6400 × ( 1 + 5/200 ) ^ 2 × 3/2

Amount after 1 and 1/2 year = 6400 × (205/200)³

Amount after 1 and 1/2 year = 6400 × (1.025)²

Amount after 1 and 1/2 year = 6400 × 1.077

= 6892.1 Rs

Hence the Amount to be paid will be 6892.1 Rs