Question

What is the compound interest on 1000 for 1 year at 10%. Interest is compound half yearly?

Answer 1

it's 1000÷10×100
$1000 \times \frac{10}{100} =$
100

Answer 2

Half yearly
P=1000
T=6
R=5%
A=P(1+R/100)^T
=1000(1+5/100)^6
=1000(100/100+5/100)^6
=1000(105/100)^6
=1000(21/20)^6
=1000*21/20*21/20*21/20*21/20*21/20*21/20
=1340.09562
CI = 1340.09562 - 1000
=340.09562