Question

Find the compound interest on Rs 1000 at the rate of 8% per annum for years when interest is compounded half-yearly.

Answer 1

$$\begin{gathered} \mathrm{Given}: \\ \mathrm{P}=\mathrm{Rs}1,000 \\ \mathrm{R}=8\%\mathrm{p}.\mathrm{a}. \\ \mathrm{n}=1.5\mathrm{years} \\ \mathrm{We}\mathrm{know}\mathrm{that}: \\ \mathrm{A}=\mathrm{P}{\left(1+\frac{\mathrm{R}}{200}\right)}^{2\mathrm{n}} \\ =1,000{\left(1+\frac{8}{200}\right)}^3 \\ =1,000{\left(1.04\right)}^3 \\ =\mathrm{Rs}1,124.86 \\ \mathrm{Now}, \\ \mathrm{CI}=\mathrm{A}-\mathrm{P} \\ =\mathrm{Rs}1,124.86-\mathrm{Rs}1,000 \\ =\mathrm{Rs}124.86 \end{gathered}$$