Question

find the compound interest on 250000 at the rate of 8% per annum for 1 1/2 years in where interest is compounded half yearly​

Answer 1

Step-by-step explanation:

Principal = 250000

Rate of interest = 8%

Time =1\frac{1}{2}=\frac{3}{2} years1

2

1

=

2

3

years

To find :

find the compound interest

Solution:

Principal = 250000

Rate of interest = 8%

Time =1\frac{1}{2}=\frac{3}{2} years1

2

1

=

2

3

years

No. of compounds per year = 2

Formula :A = P (1+\frac{r}{n})^{nt}A=P(1+

n

r

)

nt

A=250000(1+\frac{0.08}{2})^{\frac{3}{2} \times 2}A=250000(1+

2

0.08

)

2

3

×2

A=281216

Compound interest = 281216-250000=31216

Hence the compound interest on 250000 at the rate of 8% per annum for 1and 1/2 year when interest is compounded half yearly is