Advertisements
Advertisements
Question
Romesh borrowed a sum of Rs 245760 at 12.5% per annum, compounded annually. On the same day, he lent out his money to Ramu at the same rate of interest, but compounded semi-annually. Find his gain after 2 years
Advertisements
Solution
P = Rs 245, 760
R = 12 . 5 % p . a .
n = 2 years
When compounded annually, we have:
\[A = P \left( 1 + \frac{R}{100} \right)^n \]
= Rs \[245, 760 \left( 1 + \frac{12 . 5}{100} \right)^2 \]
= Rs \[311, 040\]
When compounded semi - annually, we have:
\[A = P \left( 1 + \frac{R}{200} \right)^{2n} \]
= Rs \[245, 760 \left( 1 + \frac{12 . 5}{200} \right)^4 \]
= Rs \[245, 760 \left( 1 . 0625 \right)^4 \]
= Rs 313, 203 . 75
Romesh's gain = Rs 313, 203 . 75 - Rs 311, 040
= Rs 2, 163 . 75
APPEARS IN
RELATED QUESTIONS
Arif took a loan of Rs 80,000 from a bank. If the rate of interest is 10% per annum, find the difference in amounts he would be paying after `1 1/2` years if the interest is
(1) Compounded annually
(2) Compounded half yearly
Rohit deposited Rs 8000 with a finance company for 3 years at an interest of 15% per annum. What is the compound interest that Rohit gets after 3 years?
Mewa Lal borrowed Rs 20000 from his friend Rooplal at 18% per annum simple interest. He lent it to Rampal at the same rate but compounded annually. Find his gain after 2 years.
Find the compound interest at the rate of 10% per annum for two years on that principal which in two years at the rate of 10% per annum gives Rs 200 as simple interest.
Anil borrowed a sum of Rs 9600 to install a handpump in his dairy. If the rate of interest is \[5\frac{1}{2} %\] per annum compounded annually, determine the compound interest which Anil will have to pay after 3 years.
On what sum will the compound interest at 5% per annum for 2 years compounded annually be Rs 164?
Find the rate at which a sum of money will become four times the original amount in 2 years, if the interest is compounded half-yearly.
When principal P is compounded semi-annually at r % per annum for t years, then amount ______.
If amount on the principal of Rs 6,000 is written as `6000 [1 + 5/100]^3` and compound interest payable half yearly, then rate of interest p.a. is ______ and time in years is ______.
Rahim borrowed Rs 10,24,000 from a bank for one year. If the bank charges interest of 5% per annum, compounded half-yearly, what amount will he have to pay after the given time period. Also, find the interest paid by him.
