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Q: How much money will you have at the end of one year if interest is compounded semiannually at 10 percent on a 600 deposit?

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It is 20000*(1.07)^60 = 1158928.54

1200

9.5% semi-annually = 19.9025% annually.After 10 years 1200*(1.199025)^10 = 7369.93

800 x (1.04)6 ie Rs1012.26

If every six months the capital earn 10% interest which is compounded, at the end of 5 years, the interest will be 31875. If the annual interest rate is 10%, it makes no difference how often it is compounded. The six monthly interest rate is adjusted - to 4.88% rather than 5% - so that the total interest for a year is 10%.

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It is 1.135^2 - 1 = 28.8%

13.96%

$5,249.54

888.15

It is 20000*(1.07)^60 = 1158928.54

1200

9.5% semi-annually = 19.9025% annually.After 10 years 1200*(1.199025)^10 = 7369.93

$1480.24

After 5 years, 20000 at 7% per annum compounded semiannually will be 20000*(1 + 0.5*7/100)2*5 = 20000*(1.035)10 = 28211.98

1000 x (1.025)8 which is $1218.40.

Semiannually over two years is equivalent to 4 periods. If the interest is 12% every 6 months, then the amount of interest is It is 8000*[(1.12)4 -1] =4588.15

800 x (1.04)6 ie Rs1012.26

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