Question
A principal of ₹10000 is invested at a compound
interest rate of 12% per annum compounded quarterly. What will be the amount after 1/2 year?Solution
Quarterly rate = Annual rate / 4 = 12/4 = 3% Number of quarters in 1/2 year = 2 Amount = Principal * (1 + Rate/100)Time Amount = 10000 * (1 + 3/100)² = 10,609 Answer: (B)
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