At what rate of compound interest does a sum of money become four times of itself in 4 years

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.

Let the rate percent per annum be R.Then, \[A = P \left( 1 + R \right)^{2n} \]\[4P = P \left( 1 + \frac{R}{200} \right)^4 \]\[ \left( 1 + \frac{R}{200} \right)^4 = 4\]\[\left( 1 + \frac{R}{200} \right) = 1 . 4142\]\[\frac{R}{200} = 0 . 4142\]R = 82 . 84

Thus, the required rate is 82 . 84 %.

Concept: Rate Compounded Annually Or Half Yearly (Semi Annually)

  Is there an error in this question or solution?

Get the answer to your homework problem.

Try Numerade free for 7 days

Arkansas State University

We don’t have your requested question, but here is a suggested video that might help.

at what rate of compound interest will rs 60180 amount to rs 100000 in 4 years

The RRB Group D Results are expected to be out soon! The Railway Recruitment Board released the RRB Group D Answer Key on 14th October 2022. The candidates will be able to raise objections from 15th to 19th October 2022. The exam was conducted from 17th August to 11th October 2022. The RRB (Railway Recruitment Board) is conducting the RRB Group D exam to recruit various posts of Track Maintainer, Helper/Assistant in various technical departments like Electrical, Mechanical, S&T, etc. The selection process for these posts includes 4 phases- Computer Based Test Physical Efficiency Test, Document Verification, and Medical Test.