Question

Find the compound interest on RS 16000 at 20% p.a for 9 months compounded quarterly. Can you also give the formula to find the compound interest compounded quarterly. Thx

Answer 1

Answer:

2522

Step-by-step explanation:

1 quarter = 1/4 * 12 = 3 months

thus 9 months = 9/3 = 3 quarters

rate quarterly = 20/4 = 5%

c.i = p[ ( 1 + r/100)^t - 1 ]

=16000[(1+ 5/100)^3 - 1]= 2522