Question

Which will earn more interest and how much?
6000 lent at 12% p.a. compounded annually for 1 years.
76000 lent at 12% p.a. compounded half yearly for 1 years​

Answer 1

Step-by-step explanation:

₹76000 lent at 12% p.a. compounded half yearly for 1 year will produce ₹85393.6 as amount after 1 year while ₹6000 lent at 12% p.a. compounded annually for 1 year will produce ₹6720 as amount after 1 year. So, ₹76000 lent at 12% p.a. compounded half yearly produces more interest by ₹8673.6

Answer 2

Answer:

Step-by-step explanation:

The compound interest on Rs. 6000 at 10% per annum for one year ,compounded half-yearly is =6000×(1+  

2×100

100

​  

)  

2

−6000

=6000×  

20

21

​  

×  

20

21

​  

−6000

=6615−6000=615.

So the compound interest is Rs. 615.