Question

Find the compound interest on rs 10,000 for ¹½ years at 8% per annum , when the interest is payable half yearly
Answer is 1,248.64​

Answer 1

Answer:

interest is written as follows

Step-by-step explanation:

answer 1248.64 rup

Answer 2

Answer:

1,248.64

Step-by-step explanation:

Interest rate of 8% p.a means interest rate of 4% per 6 months.

We have 3 periods of 6 months in 1½ years.

Hence, we can calculate final amount from initial amount using three consecutive 4% increases.

i.e.

1. First period of 6 months

4% of 10000=400

Amount becomes 10400.

2. Second period of 6 months

4% of 10400=416

Amount becomes 10816.

3. Third period of 6 months

4% of 10816=432.64

Amount becomes 11248.64

Our principle was 10000.

So, total interest over the complete period is:

11248.64-10000

=1248.64