Question

If principal $=\text{Rs}1,00,000$, Rate of interest $=10\%$ compounded half yearly. Find amount after one year.

Answer 1

Amount (A), when the rate of interest is compounded half-yearly, $A=P{(1+\frac{R}{200})}^{2T}$, where $T$ is the number of years
Amount after one year $=100000{(1+\frac{10}{200})}^2=100000\times \frac{21}{20}\times \frac{21}{20}=\text{Rs.}110250$