Find the compound interest on Rs. 1000 at the rate of 8% per annum for

1.	Find the compound interest on Rs. 1000 at the rate of 8% per annum for 1 years when interest is compounded half yearly.
Answer» Given, Principal = Rs.1000 Rate = 8% p.a \(=\frac{8}{2}={4}\text% \) half yearly Time \(={1}\frac{1}{2}\) years \(=\frac{3}{2}\times{2}\) = 3 half years Compound interest \(={P}[({1}+\frac{R}{100})^T-{1}]\) \(={1000}[({1}+\frac{4}{100})^3-{1}]\) \(={1000}[(\frac{26}{25})^3-{1}]\) \(={1000}\times\frac{1951}{1525}\) =Rs. 124.86

Find the compound interest on Rs. 1000 at the rate of 8% per annum for 1 years when interest is compounded half yearly.

Answer»

Given,

Principal = Rs.1000

Rate = 8% p.a

\(=\frac{8}{2}={4}\text% \) half yearly

Time \(={1}\frac{1}{2}\) years

\(=\frac{3}{2}\times{2}\)

= 3 half years

Compound interest

\(={P}[({1}+\frac{R}{100})^T-{1}]\)

\(={1000}[({1}+\frac{4}{100})^3-{1}]\)

\(={1000}[(\frac{26}{25})^3-{1}]\)

\(={1000}\times\frac{1951}{1525}\)

=Rs. 124.86