Login

At the end of 1 year on rs 1,800 at 8% per annum compounded quarterly.

P = Rs. 1800

r = 8%

n = 1 year

since, CI is compounded quarterly.

therefore, r = 8/4=2% quarterly, n = 4*1=4 quarters

  • 18
View Full Answer

P=1800

R=8%

New Rate=8/4

=2%

T=1YEAR

n=4 PAIRS OF 3 MONTHS

A=P(1+R/100) REST TO n

=1800(1+2/100)REST TO 4

=1800*51/50*51/50*51/50*51/50

=60886809/31250

=1948.37

CI=A-P

=1948.37-1800

=148.37

  • 2
What are you looking for?