Question

The minimum number of half years in which a sum of money kept at 60% compound interest will be quadrupled is ?

Answer 1

Answer:

6 half years

Step-by-step explanation:

Assume the initial amount to be 100$. Therefore, what we want to end up with is quadruple that, which is 4*100 = 400$.

The Compounded Interest on the first year =  0.6*100 = 60$. Hence, the amount is now 160$.

The Compounded Interest on the second year =  0.6*160 = 96$. Hence, the amount is now 256$.

The Compounded Interest on the third year =  0.6*256 = 153.6$. Hence, the amount is now 409.6$.

Therefore, the money took 3 years to quadruple; which means 6 half years.