Question

What sum will become 13398.93 in 3/2 year if the rate of interest is 12% per annum and the
is compounded half-yearly?​

Answer 1

$\huge\mathcal{\underline{Solution:-}}$

Future value(A)=9826 time(t) = 18 months (1.5 years)

rate of interest(r)= 5% p.a compounded annually.

present vale(P)=?

A=P(1+r)^t

9826=P(1+5%)^1.5

P=9132.56. Ans

Answer 2

Answer:

5376.53 at simple intrest but we must recalculate for 3 compounding periods instead of simple intrest. 5105.13 the first year. Add another 6 months of intrest at 10 percent for the half year or figure your intrest rate by the day. The following calculator will give you the right answer.