Question

Find the compound interest on 5,000 at the rate of 8% per annum for 1 year when the interest is compounded quarterly....​

Answer 1

Solution

Given, Principal = RS .500

Rate=8%

time=1year,

n=2

$a = p(1 + \frac{ r}{100} ) {}^{n}$

$a = 500(1 + \frac{8}{200} ) {}^{2}$

$a = 5000 (\frac{208}{200} )( \frac{208}{200} )$

$a = 5408$

C.I=A-P

=5408-5000

=408

answer 408

Answer 2

Given, Pricnipal=Rs. 5000

Rate =8%

Time =1 year, ⟹n=2∵ Compounded half-yearly

A=P(1+  

2.100

r

​

)  

n

 

A=5000(1+  

200

8

​

)  

2

 

A=5000(  

200

208

​

)(  

200

208

​

)

A=5408

C.I=A−P

=5408−5000

=408

C.I.=408.