Question

the compound interest on rs 8000 for one year at 16% pa compoundad half yearly is

Answer 1

C.I. =Rs 8000
T=1y=1/2y
R=16%

Answer 2

We will use compound interest formula

$A=P(1+\frac{r}{n})^{nt}$

Where P=deposited amount = 8000

r= yearly rate of interest = 16%= 0.16

n= compounding per period = 2 ( because there are two half years in an year)

n= Number of years = 1

Now plug these values into formula

$A=P(1+\frac{r}{n})^{nt}$

$A=8000(1+\frac{0.16}{2})^{2*1}$

$A=8000(1+0.08)^{2}$

$A=8000(1.08)^{2}$

$A=8000(1.1664)$

$A=9331.2$

So the final answer is 9331.2 rs.