A bank offers 5% compound interest per half year. A customer deposits Rs. 4800 each on 1st January and 1st July of a year. At the end of the year, the amount he would have gained by way of interest?
1). Rs. 363
2). Rs. 1464
3). Rs. 366
4). Rs. 183
A bank offers 5% compound interest per half year. A customer deposits Rs. 4800 each on 1st January and 1st July of a year.
Compound interest for first 6 months = Rs. 4800 × [(1 + (5/200)) - 1] = Rs. 120
Principal amount for next 6 months = Rs. 4800 + 4800 + 120 = Rs. 9720
So, the compound interest for last 6 months = Rs. 9720 × [(1 + (5/200)) - 1] = Rs. 243
∴ The total interest gained = 120 + 243 = Rs. 363.9. How much simple interest will Rs. 7254 earn in 30 months at 10% per annum?