Arithmetichard · Past Paper

In how many years will Rs 8000 amount to Rs 9261 at 5% p.a. compounded semi-annually?

A1 year
B1.5 years
C2 years
D3 years

✓ Correct Answer: B1.5 years

9261/8000 = (1 + 0.025)^n => 1.157625 = (1.025)^n. 1.025^3 = 1.157625. So n=3 half-years = 1.5 years.

Share this question

More from Arithmetic