Question

If 6000 is deposited for 2 years at 4% per annum compounded quarterly then find the time period and rate to compute compound interest

Answer 1

Answer:

1% Quarterly

Step-by-step explanation:

P = ₹6,000

R = 4%p.a.

T = 2 years

Solution

When the interest is compounded quarterly

T = 4n

= 4 × 2

= 8 quarters

R = R/4

= 4/4 % per quarterly

= 1% per quarterly