Advertisements
Advertisements
Question
Calculate the C.I. on Rs. 3,500 at 6% per annum for 3 years, the interest being compounded half-yearly.
Do not use mathematical tables. Use the necessary information from the following:
(1.06)3 = 1.191016; (1.03)3 = 1.092727
(1.06)6 =1.418519; (1.03)6 = 1.194052
Advertisements
Solution
Given: P = Rs. 3,500; r = 6% and n = 3 years
Since interest is being compounded half-yearly
Then, `"C.I." = "P"[( 1 + r/[ 2 xx 100 ])^(n xx 2)]`
= 3,500`[( 1 + 6/[ 2 xx 100 ])^(3 xx 2)]`
= 3,500`[(206/200)^6]`
= 3,500 × [(1.03)6]
= 3,500 × 1.194052
= ₹ 4179.18
C.I. = A - P
= ₹ 4179.18 – ₹ 3500
= ₹ 679.18
APPEARS IN
RELATED QUESTIONS
If the interest is compounded half-yearly, calculate the amount when principal is Rs. 7,400; the rate of interest is 5% per annum and the duration is one year.
A man borrowed Rs.16,000 for 3 years under the following terms:
20% simple interest for the first 2 years.
20% C.I. for the remaining one year on the amount due after 2 years, the interest being compounded half-yearly.
Find the total amount to be paid at the end of the three years.
In what time will Rs. 1,500 yield Rs. 496.50 as compound interest at 20% per year compounded half-yearly ?
Find the difference between compound interest and simple interest on Rs.12,000 and in `1 1/2` years at 10% compounded yearly.
Find the difference between compound interest and simple interest on Rs. 12,000 and in `1 1/2` years at 10% compounded half-yearly.
Simple interest on a sum of money for 2 years at 4% is Rs 450. Find the compound interest at the same rate for 1 year if the interest is reckoned half-yearly.
A man borrows Rs.6500 at 10% per annum compound interest payable half-yearly. He repays Rs.2000 at the end of every six months. Calculate the amount outstanding at the end of the third payment. Give your answer to the nearest rupee.
Find the amount and the compound interest on the following :
Rs.15000 for 2years at 8% per annum compounded semi-annually.
Find the amount and the compound interest on the following :
Rs.25000 for 2 years at 6% per annum compounded semi-annually.
Find the amount and compound interest on Rs.50000 on 1`(1)/(2)` years at 8% p.a. compounded half-yearly.
