Question

Kolkata CI on rs 18000 for 2 1/2 years at 6% rate compounded half yearly​

Answer 1

Question:

• Calculate CI on ₹18000 for 2 1/2 years at 6% rate compounded half-yearly.

Answer:

• Compound Interest is ₹2866.93.

Step-by-step explanation:

Given that:

• Principal = ₹18000
• Rate = 6%
• Time = 2 1/2 years = 5/2 years

As we know that:

• If CI is compounded half-yearly then, Rate = R/2, Time = 2n and Amount is:

$\sf{\circ\;Amount=Principal\left(1+\dfrac{Rate}{100}\right)^{Time}}$

Calculating rate and time:

• Rate = R/2 = 6/2 = 3%

• Time = 2n = 5/2 × 2 = 5 half-years

Substituting the values,

$\sf{Amount=18000\left(1+\dfrac{3}{100}\right)^{5}}$

$\sf{=18000\left(\dfrac{100+3}{100}\right)^{5}}$

$\sf{=18000\left(\dfrac{103}{100}\right)^{5}}$

$\sf{=18000\times1.1592740743}$

$\sf{=20866.93\;\;(approx.)}$

Hence,

• Amount = ₹20866.93

Now,

As we know that:

Compound Interest = Amount - Principal

= ₹(20866.93 - 18000)

= ₹2866.93

Hence,

• CI = ₹2866.93