Question

Rs 1600 lent at a compound interest of 5% per annum compounded half yearly for one year will amount to

Answer 1

Answer:

Step-by-step explanation:

A=P (1+R/100)^n

 =1600(1+5/200)^1

 =1600(205/200)

 =1600* 41/40

 =1640 Rs

CI = A-P

   = 1640-1600

   40 Rs.

Answer 2

Amount = Principal(1 + r/100)n

r = rate of interest for the given period (years, months, days etc)

n = time period for which the compounding takes place

In this question the interest is compounded half yearly

∴ r = 5/2 = 2.5% half yearly

n = 2(because there two period of six months each in a year)

Principal = Rs. 1600

Amount = 1600(1 + 2.5/100)2

= 1600(1 + 0.025)2

= 1600(1.025)2

= 1600(1.050625)

=1681

Ans :- The amount will be Rs1681.