Akshat invested ₹90,625 at 8% p.a. for 1 year at compound interest, compounded half-yearly. The amount received by him is:​

Correct option is A

Given:

Principal P = ₹90,625

Rate R = 8%  p.a.

Time = 1 year

Compounding: half-yearly

2 compounding periods per year

Formula Used:

Number of periods n = 2

Amount A = P$$\left(1+\dfrac{R}{2\times 100}\right)^n$$​​

Solution:
Half-yearly rate $$= \dfrac{8}{2}$$​=4%, n = 2.
A = $$90{,}625 \times (1+0.04)^2$$​​
= 9$$0{,}625 \times 1.0816$$​​
= ₹98020​