Question

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Answer 1

Explanation:

It is given that

Principal (P) = 2500

Rate of interest (r) = 4% p.a. or 2% half-yearly

Period (n)= 2 years or 4 half- years

We know that

SI= Prt/100

Substituting the values

= (2500×4×2)/100

= 200

If compounded semi-annually

A = P(1+r/100)

n

Substituting the values

= 2500(1+2/100)

4

By further calculation

=2500×51/50×51/50×51/50×51/50

= 2706.08

We know that

CI = A - P

Substituting the values

=2706.08−2500

=206.08

So the difference between CI and SI =206.08−200=6.08

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Answer 2

Correct option:

1. (1)
2. (4)
3. (2)
4. (2)
5. (2)
6. (1)
7. (3)
8. (1)