Aptitude - Compound Interest - Discussion
Discussion Forum : Compound Interest - General Questions (Q.No. 4)
4.
What is the difference between the compound interests on Rs. 5000 for 1
years at 4% per annum compounded yearly and half-yearly?
years at 4% per annum compounded yearly and half-yearly?
Answer: Option
Explanation:
| C.I. when interest compounded yearly |
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| = Rs. 5304. |
| C.I. when interest is compounded half-yearly |
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| = Rs. 5306.04 |
Difference = Rs. (5306.04 - 5304) = Rs. 2.04
Discussion:
85 comments Page 4 of 9.
Kajal said:
1 decade ago
Why are you using the formula of amount instead of C.I that means question is demanding for the difference of C.I rather the difference of amount.
Sangeet said:
1 decade ago
Not understand this question. Why we multiply (1+(((1/2)*4)/100)?
Even I am not able understand the further steps.
Even I am not able understand the further steps.
Manohar said:
1 decade ago
Hello friends.
Thank you for sharing your views about that problem.
Thank you for sharing your views about that problem.
Ayan Guchhait said:
1 decade ago
If the calculator is not provided.
Then short cut (same as Given Solution).
For yearly (Amount+compound interest) = A (1 + [r/100]) ^ 3/2 A = 5000; are = 4.
= A (1 + [r/100]) ^ (1+1/2).
= A (1 + [r/100]) * (1 +[r/100] ^ (1/2)).
= A (1 + [r/100]) * (1 + 1/2[r/100]).
For half yearly (Amount +compound interest) =A (1 +[(r/2) /100]) ^ (3/2*2).
Then short cut (same as Given Solution).
For yearly (Amount+compound interest) = A (1 + [r/100]) ^ 3/2 A = 5000; are = 4.
= A (1 + [r/100]) ^ (1+1/2).
= A (1 + [r/100]) * (1 +[r/100] ^ (1/2)).
= A (1 + [r/100]) * (1 + 1/2[r/100]).
For half yearly (Amount +compound interest) =A (1 +[(r/2) /100]) ^ (3/2*2).
Keya said:
10 years ago
If the year was 5 and 1/2 years instead of 3/2 years for annual compound interest then what should be the equation?
A = P[(1+R/100)^5*{1+ (R/2) /100). Is it correct?
A = P[(1+R/100)^5*{1+ (R/2) /100). Is it correct?
Mohit said:
10 years ago
Any short method without this formula?
Ritesh said:
10 years ago
Here formula used for amount but question is for C.I? How?
So please check it.
So please check it.
Chirpy said:
9 years ago
How does 26/25 & 51/50 come in the 2nd step?
INDRANIL said:
9 years ago
If there is any shortcut formula for this? Please assist.
Akshay said:
9 years ago
Direct formula for finding the amount of compound interest.
A = P( 1 + R*t/100)^n/t.
Where,
A : Amount ( principle + interest).
P : principle amount.
R : rate of interest in %.
t : number of years for interested is compounded.
n : number of years.
In above example,
For the half year compounded t=1/2.
Try this method.
Thanks.
A = P( 1 + R*t/100)^n/t.
Where,
A : Amount ( principle + interest).
P : principle amount.
R : rate of interest in %.
t : number of years for interested is compounded.
n : number of years.
In above example,
For the half year compounded t=1/2.
Try this method.
Thanks.
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