In what time will ₹3,90,625 amount to ₹4,56,976 at 8 % per annum, interest being compounded half-yearly?

2 years

Interest is compounded half - yearly,

Actual rate of interest = \(\frac{8}{2}\)% = 4%

From the formula for compound interest, we know,

Amount = P(1+$\frac{R}{100})^t$

4,56,976 = 3,90,625 [ 1 + \(\frac{4}{100}\) ]

\(\frac{456976}{390625}\) = [ 1 + \(\frac{4}{100}\) ]

\(\frac{((26)²)²}{  ((25)²)² }\) = [ \(\frac{26}{25}\) ]n

So, n  = 4

As interest is compounded half yearly .

So, time = 4 years