Question
Solution
Let the principal be p Simple interest get in 2 years at 12% p.a. simple interest is (2 × 12p)/100 ⇒ 24p/100 Amount = 24p/100 + p ⇒ 124p/100 Accordingly, 124p/100 = 15500 ⇒ p = 12500 The principal is 12500 Total time is 1.5 year The rate of interest is 10% p.a. Interest compounded half yearly Amount after 1.5 years will be 12500 × (1 + 10/200)1.5 x 2 ⇒ 12500 × (21/20)^3 ⇒ 14470.31 ⇒ 14470 ∴ The amount will be 14470 after 1.5 year
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