Question

In how many years will a sum of Rs.800 at 10% per annum compounded semi annually become Rs.926.10

• A. $1$ year
• B. $1.5$ years
• C. $2$ years
• D. $2.5$ years

Answer 1

The correct option is B $1.5$ years

Let the time be 'n' years, then $Amount=800\times (1+\frac{5}{100}{)}^{2n}=926.10$

$(1+\frac{5}{100}{)}^{2n}=\frac{9261}{8000}$

$(\frac{21}{20}{)}^{2n}=(\frac{21}{20}{)}^3$

$n=\frac{3}{2}=1.5$ years