What amount is to be repaid on a loan of rs 20,000 for 1 half years at 10 % per anum compounded half yearly
Answers
Answer:
As interest is compounded half yearly, so number of conversion periods in 1
2
1
years is 3, So n=3
rate for half year =
2
1
×10%=5%
A=P(1+
100
R
)
n
A=12000(1+
100
5
)
3
=12000(
100
105
)
3
=Rs.13891.50
Compound interest =A−P
=13891.50−12000
=Rs.1891.50
Answer:
The repaid amount is 23,152.5 Rs
Step-by-step Explanations :
Given : Principal (P) = 20,000
Rate of interest (R) = 10%,
Time (n) = 1 and 1/2 years = 3/2 years
To find: we have to find repaid amount.
We know that ,
Amount = P × ( 1 + R/200 ) ^ 2n
= 20,000 × ( 1 + 10/100 ) ^ 2 × 3/2
= 20,000 × ( 210/200 ) ³
= 20,000 × (21/20)³
= 20,000 × (1.05)³
= 20,000 × 1.16
= 23,152.5
Hence the repaid amount is 23,152.5 Rs