Find the amount and the compound interest on ₹ 12800 for 1 year at 7

1.	Find the amount and the compound interest on ₹ 12800 for 1 year at 7 ½ % per annum, compounded half-yearly.
Answer» Given: Present value= ₹ 12800 Interest rate= 7 ½ % per annum Time=1 year and compounded half yearly To find the amount we have the formula, Amount (A) = P (1+(R/100)²ⁿ Where P is present value, r is rate of interest, n is time in years. Now substituting the values in above formula we get, ∴ A = 12800 (1 + (15/4)/100)² ⇒ A = 12800 (1+3/80)² ⇒ A = 12800 (83/80)² ⇒ A = 128 × 6889/64 ⇒ A = ₹ 13778 ∴ Compound interest = A – P = 13778 – 12800 = ₹ 978

Find the amount and the compound interest on ₹ 12800 for 1 year at 7 ½ % per annum, compounded half-yearly.

Answer»

Given:

Present value= ₹ 12800

Interest rate= 7 ½ % per annum

Time=1 year and compounded half yearly

To find the amount we have the formula,

Amount (A) = P (1+(R/100)²ⁿ

Where P is present value, r is rate of interest, n is time in years.

Now substituting the values in above formula we get,

∴ A = 12800 (1 + (15/4)/100)²

⇒ A = 12800 (1+3/80)²

⇒ A = 12800 (83/80)²

⇒ A = 128 × 6889/64

⇒ A = ₹ 13778

∴ Compound interest = A – P

= 13778 – 12800 = ₹ 978