How to calculate 2 years compound interest compounded half yearly?
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Divide the interest rate by 2 since you will get interest 2 times in a year. and make your n = 4 (instead of 2) for getting interest 4 times in 2 years....use the following formula.
A = P (1+i/2)^4
A = Interest + principal.
P = principal.
after applyinf above formula u will get the A(amount) i.e princial + interest...so deduct princial form it to get your compound interest.
Hope this helps you
A = P (1+i/2)^4
A = Interest + principal.
P = principal.
after applyinf above formula u will get the A(amount) i.e princial + interest...so deduct princial form it to get your compound interest.
Hope this helps you
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