Advertisements
Advertisements
Question
Calculate the amount and compound interest on Rs 10000 for 1 year at 8% per annum compounded half yearly.
Advertisements
Solution
Principal (P) = Rs 10,000
Rate = 8% per annum or 4% per half year
Number of years = 1 year
There are 2 half years in 1 year.
A = `P(1 + R/100)^n`
= `Rs [10000(1 + 4/100)^2] = Rs [10000(1 + 4/100)^2] = Rs [10000(1 + 1/25)^2]`
= Rs `(10000 xx 26/25 xx 26/25)`
= `Rs 10816`
C.I. = A − P = Rs 10816 − Rs 10000 = Rs 816
RELATED QUESTIONS
At what rate percent per annum will a sum of Rs 4000 yield compound interest of Rs 410 in 2 years?
Ramesh invests Rs. 12,800 for three years at the rate of 10% per annum compound interest. Find:
- the sum due to Ramesh at the end of the first year.
- the interest he earns for the second year.
- the total amount due to him at the end of the third year.
Rachna borrows Rs. 12,000 at 10 percent per annum interest compounded half-yearly. She repays Rs. 4,000 at the end of every six months. Calculate the third payment she has to make at end of 18 months in order to clear the entire loan.
On a certain sum of money, lent out at C.I., interests for first, second and third years are Rs. 1,500; Rs. 1,725 and Rs. 2,070 respectively. Find the rate of interest for the (i) second year (ii) third year.
Rekha borrowed Rs. 40,000 for 3 years at 10% per annum compound interest. Calculate the interest paid by her for the second year.
Peter borrows ₹ 12,000 for 2 years at 10% p.a. compound interest. He repays ₹ 8,000 at the end of the first year. Find:
- the amount at the end of the first year, before making the repayment.
- the amount at the end of the first year, after making the repayment.
- the principal for the second year.
- the amount to be paid at the end of the second year, to clear the account.
A certain sum of money invested for 5 years at 8% p.a. simple interest earns an interest of ₹ 12,000. Find:
(i) the sum of money.
(ii) the compound interest earned by this money in two years and at 10% p.a. compound interest.
The difference between simple interest and compound interest compounded annually on a certain sum is Rs.448 for 2 years at 8 percent per annum. Find the sum.
The cost of a machine is ₹ 18000 and it depreciates at `16 2/3 %` annually. Its value after 2 years will be ___________
Find the rate of compound interest at which a principal becomes 1.69 times itself in 2 years
