Question

find the simple interest on sum of money for 2 years at 10% per annum is rupees 5000 find compound interest on the same sum at the same rate for the same period when the interest is compounded half yearly​

Answer 1

Step-by-step explanation:

Given : P = 5000

r = 10%

t = 2 years

SI = P×r×t/100

= 5000×10×2/100

SI = 1000

Now for CI

amount = P(1+r/200)^2n

= 5000(1+10/200)²×²

= 5000(21/20)⁴

= 5000 × 21/20 × 21/20 × 21/20 × 21/20

= 6077.53

CI = amount - Principle

= 6077.53-5000

= 1077.53