What is the difference between the compound interests on Rs. 15,000 for 1 year at 20% per annum compounded yearly and half-yearly?
Answer & explanation
Correct answer: option 1
P = 15000
R = 20% p.a.
Total Rate of Int. (Compounded Half yearly) = 10% + 10% +( \(\frac{10 x 10}{100}\))% = 21%
Difference percentage = 21% – 20% = 1%
Difference b/w C.I. = 15000 x 1% = 150