Question
Find the amount which Ram will get on Rs 4,096, he gave it for 18 months at `12 1/2` %per annum, interest being compounded half yearly.
Solution
P = Rs 4,096
R = `12 1/2` % per annum = `25/4` % per half year
n = 18 months
There will be 3 half years in 18 months.
Therefore,
A = Rs`[4096(1 + 25/400)^3] = Rs[4096(1 + 1/16)^3]`
= Rs `(4096xx 17/16 xx 17/16 xx 17/16)` = Rs 4913
Thus, the required amount is Rs 4,913.
Is there an error in this question or solution?
Solution Find the Amount Which Ram Will Get on Rs 4,096, He Gave It for 18 Months at `12 1by2` %Per Annum, Interest Being Compounded Half Yearly. Concept: Rate Compounded Annually Or Half Yearly (Semi Annually).
