The compound interest on Rs 50,000 at 4 (2024)

As an enthusiast with a deep understanding of mathematical concepts, particularly in the domain of compound interest, I'd like to share my expertise on the topic discussed in the provided article.

Firstly, let's break down the information provided in the article and delve into the concepts used:

1. Compounded Annually or Half-Yearly: The article touches upon the concept of compounding interest, specifically whether it is compounded annually or half-yearly. This is crucial because the frequency of compounding affects the final amount accrued.

2. Principal, Rate, and Time: The formula used for compound interest is A = P(1 + R/100)^T, where:

   • A is the final amount,
   • P is the principal amount,
   • R is the rate of interest, and
   • T is the time (in years).

3. Given Values: The article provides specific values for the calculation:

   • Principal (P) is given as Rs. 50,000,
   • Rate of interest (R) is given as 4%,
   • Time (T) is given as 2 years.

4. Calculation: The compound interest is calculated using the formula, and the final amount (A) is determined. The article then states that the correct option is B, which corresponds to Rs. 4,080.

5. Similar Questions: The article presents similar questions related to compound interest, testing the understanding of the formula and application of the concept.

If you have any specific questions or if there's a particular aspect of compound interest you'd like me to elaborate on, feel free to ask!