Rana makes a deposit of Rs.50000 for a period of 2 ½ years in the ACB Bank. If the rate of interest is 12% per annum compounded half-yearly, find the maturity value of the money (approx.) deposited by him.

Correct option is B

Given:
Deposit principal (P)= Rs. 50,000
Rate of interest (R) = 12% per annum
Time = 2.5 years = 30 months
Concept used:
1 year = 12 months
Compound interest, CI = P(1 + R/100)N - P
Where,
P = Principal amount
R = Rate of interest per year
N = Time in years
Solution:
Since the rate of interest is 12% per annum compounded half-yearly,
Rate of interest (R) = 12/2 = 6%
Time (N) = 30/6 = 5
Maturity value of the money deposited by him
⇒ 50,000(1 + 6/100)5
⇒ Rs. 66911.278 ≈ Rs. 66911
The maturity value of the money (approx.) deposited by him is Rs. 66911.