Question

Question 32

When principal P is compounded semi-annually at r% per annum for t years, then amount = ___

Answer 1

When principal P is compounded semi-annually at r% per annum for t years.
i.e. Rate = $\frac{r}{2}$ and time = 2 $\times$ t
Then, Amount = Principal ${(1+\frac{Rate}{200})}^{2\times Time}$
i.e $A=P{(1+\frac{r}{200})}^{2t}$