Question

Find the compound interest to be paid at the end of  1 year on ₹ 8000 at   8 % per annum  compounded​

Answer 1

Given:

Present value =#8000 Interest rate = 8% per annum Time =1 year and compounded half

yearly

To find the amount we have the formula,

Amount (A)=P(1+(r/100))

n

where P is present value, r is rate of interest, n is time in years.

Now substituting the values in above formula we get,

A=8000(1+(8/2)/100)

⇒ A=8000(1+4/100)

⇒ A=8000(1+1/25)

⇒ A=8000(21/25)

⇒ A= 6720

:: Compound interest -A-P

-6720-8000=1280

I hope it helps you