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sudha reddy Moderator

A = 16000 Period = 18m rate 10% p.a payable half yearly so n =18m/6m= 3 and r = 10/2=5%

If we write t equal to two and half years we will multiply with 2 but I think we should do with 3

Suraj Lakhotia Admin

Rate given is per annum (per year). Not for 18 months.

Sir for 12 months rate is 10 percent. Since the question says half yearly it is 5 percent But there are additional 6 months what about it

Thread Starter

Prasanth kumar KamisettySir for 12 months rate is 10 percent. Since the question says half yearly it is 5 percent But there are additional 6 months what about it

that should be adjusted in no. of terms not rate of interest

sudha reddy Moderator

that should be adjusted in no. of terms not rate of interest

Ok mam. But when I write in the t equal to 3/2 and multiply with 2 AM I compounding only 2 times

Suraj Lakhotia Admin

3/2 x 2 =3

If we multiply with 2 we are actually compounding 2 times in one year but I think additional 6 months are left

Thread Starter

Prasanth kumar KamisettyIf we multiply with 2 we are actually compounding 2 times in one year but I think additional 6 months are left

Thank you sir for being patient and taking extra timr