What amount is to be on a loan of Rs 12000 for 1½ years at 10% per annum compounded half yearly?

Calculate the amount and compound interest on:

(a) Rs 10,800 for 3 years at 121/2 % per annum compounded annually.

(b) Rs 18,000 for 21/2 years at 10% per annum compounded annually.

(d) Rs 8,000 for 1 year at 9% per annum compounded half yearly.

(You could use the year by year calculation using SI formula to verify.)

(e) Rs 10,000 for 1 year at 8% per annum compounded half yearly.

Maths-

Complete step by step solution:(i)We know the formula for total amount = A = P + SI…(i)where A is the total amount, P is the principal amount and SI is simple interest.(for 1st year, both simple interest and compound interest are the same)Here, we have A = 12000 Rs and P = 10000 RsOn substituting the known values in (i), we get SI = 12000 - 10000 = 2000So, we have SI = 2000 Rs

We calculate simple interest by the formula,…(ii)

where P is Principal amount, T is number of years and R is rate of interestHere, we have SI = 2000, P = 10000,T = 1 and R = ?

On substituting the known values in (ii), we get

Hence the rate of interest R is 20%.(ii)

We know that …(iii)

Here, we have T = 2 years, P = 10000 , R = 20%Amount at the end of second year will be,

On substituting the known values in (iii), we get

Rupees

Maths-General

We calculate simple interest by the formula,…(ii)

where P is Principal amount, T is number of years and R is rate of interestHere, we have SI = 2000, P = 10000,T = 1 and R = ?

On substituting the known values in (ii), we get