ATQ, as well,the interest is payable in half-yearly.
We know that,
[By this formula,it could easily solved]
Substitute the values
Now solve.
Hence,the sum of ¥ 4000 will be amounted to ¥4630.50 in 1 1/2 years.
This question arises:Why we used that formula?
Reason:
The compound interest is calculated half-yearly, the formula changes a little.In this case for r we write r/2 and for n we write 2n because a rate of r% per annum is r/2% half-yearly and n years = 2n half year So this is the reason.