Question

Find the interest on Rs 15000 for 5 years at 8% p.a . Compounded half yearly.​

Answer 1

Step-by-step explanation:

A=P(1+

100

r

)

n

=15000(1+

100

10

)

2

=Rs18150

CI=A−P=Rs3150

(ii)

A=P(1+

100

r/m

)

n∗m

=156250(1+

100

8/2

)

1.5∗2

=Rs175760

CI=A−P=Rs19510

(iii)

A=P(1+

100

r/m

)

n∗m

=100000(1+

100

4/4

)

0.75∗4

=Rs103030.1≈Rs103030

CI=A−P=Rs3030

Answer 2

Answer:

The answer is Rs.3030.

Step-by-step explanation:

According to the question.

The answer is Rs.3030

Since the compounding half yearly,

half yearly interest would be 2.50% ( 5%/2 )

and the number of periods is 10 ( 3*2 as there will be 10 half years in 5 years )

Using the formula FV = PV*(1+r)^n, the future value with interest is Rs.103030

CI = A - P = Rs.3030

After deducting the Principal of Rs.15000 compound interest is Rs.3030