Find the rate at which a sum of money will become four times the original amount in 2 years, if the interest is compounded half-yearly.

Question

Philoid · Accepted Answer

Given,

Time = 2 years = 2×2 = 4 half years

Let rate = R % per annum =

Let principal = P

Amount becomes = 4P

So,

A =

=

Hence ,

Rate = 82.84 %