Question

nirmal took a loan rs 60000 from a bank. the rate of interest is 10% per annum.Find the difference in amount she would be paying after 1 and half years and 2 years. if interest is calculated half yearly

Answer 1

Principal = Rs. 60,000
Rate = 10%
Time = ???
Compound Interest

Using formula..
1 and half yrs
Amount = p * [1+(r/100)]³
               = 60,000(110/100)³
               = 60,000×(110/100)×(110/100)×(110/100)
               = 79860

2yrs
Amount  = p*[1+(r/100)]$^{4}$
               = 60,000(110/100)$^{4}$
               = 60,000*(110/100)*(110/100)*(110/100)*(110/100)
               = 87846

Difference??
87846-79860
7986

Hope it helps :)