Question

a family saved 40000 in Savings Bank that pays compound interest half-yearly at a rate of 10% per annum what is amount in the family's account at the end of 2 years and what will be the amount in their account ​

Answer 1

Step-by-step explanation:

WE know

• A=P(1+r/n)^nt, where A is the amount, P is the principle r is the rate , t is the time and n is the number of interest compounded per unit time

so by suing this formula

• A=40000(1+0.1/2)^2*2
• A=40000(1.2155)
• or, A=48620.25
• therefore the amount is Rs.48620.25