1.

Find the amount and the compound interest on `Rs 10,000` for `(1) 1/2` years at `10%` per annum, compounded half yearly. Would this interest be more than the interest he would get if it was compounded annually?

Answer» Principle amount=10,000
Time=1.5 years= 3 half years
Interest rate=10% per year=5% per half year
`A=P(1+R/100)^n`
`A=10,000(1+0.05)^3``A=10,000(1.157)`A=11576 Rs


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