Question

What is the compound interest on 64,000 for years
$1 \times \frac{1}{2}$
at 5% p.a. compounded half yearly? 2.​

Answer 1

Answer:

Here we are given the principal amount as Rs.64000 and the compound amount as Rs.68921. We are also given the rate of interest per annum as 5%. Now the rate of interest is compounded half annually. So we will have to decrease the rate of interest and increase the time period i.e. rate of interest will become 52%52% per half annum or we can say r=52%r=52% per half annum.

Also, our time period will become twice. So, we can say t = 2T, where T is in years.

We know the formula of the compound amount is given by A=P(1+r100)TA=P(1+r100)T where A is the compound amount, P is the principal amount, r is the rate of interest and t is the time period.

Putting all the found values we get:

68921=64000⎛⎝⎜⎜1+52100⎞⎠⎟⎟2T⇒6892164000=(1+5200)2T68921=64000(1+52100)2T⇒6892164000=(1+5200)2T

Taking LCM of 200 on the left side of the equation we get:

⇒6892164000=(