ABC26GN4123 · Compound Interest

Subject: General Aptitude · Chapter: Compound Interest · Exam: 2000 · Marks: · Difficulty:

Find the compound interest on ` 10,000 in 2 years at 4% per annum, the interest being compounded half- yearly.
Answer
Answer (as printed):
Explanation
Principal = ` 10000; Rate = 2% per half-year; Time = 2 years = 4 half-years.   2   4  51 51 51 51  ∴ Amount = ` 10000 ×  1 +   = `  10000 × × × ×  = ` 10824.32.   100    50 50 50 50  ∴ C.I. = ` (10824.32 – 10000) = ` 824.32.

Explanation as extracted from the printed page; notation may be imperfect.

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