Question

If the interest is compounded half-yearly and the interest rate is a positive value,

C.I of 2nd half-year is more than the C.I of the first half-year.

• A. True
• B. False

Answer 1

The correct option is A

True

The given statement is true

If the interest is compounded half-yearly and the interest rate is a positive value,

C.I of 2nd half-year is more than the C.I of the first half-year because the principle changes after the 1st half interest calculation, and hence the interest in second half becomes more.