Question 30:
Find the ratio of compound interest on ₹10,000 for 1 year at the rate 8% compounded half-yearly and yearly.
Options :
- a) 61 : 52
- b) 62 : 49
- c) 51 : 50
- d) 53 : 45
correct answer : c)
Explanation :
1) Half-yearly: Rate = 4%, periods = 2.
CI_half = 10,000 × [(1.04)² – 1] = 10,000 × (1.0816 – 1) = ₹816.
2) Yearly: Rate = 8%, period = 1.
CI_yearly = 10,000 × 0.08 = ₹800.
Ratio = 816 : 800 = 51 : 50.