poonam gave rs.30000 as a loan to her neighbour at 10%p.a compounded semiannualy (half yearly) later on she realised that her neighbour was a very honest person but a poor person so, at the end of 1 and half years,she decided to charge interest at 10% annually only.how mush concession she had given for her honesty? comment on the values involved

Dear student
P=Rs30000T=1.5 yearR=10% p.a. compunded half yearly.So, A=P1+R21003T=300001+51003=30000×105100×105100×105100=34728.75C.I=A-P=Rs34728.75-30000=Rs4728.75andP=Rs30000T=1.5 yearR=10% p.a.Firstly, the amount for 1 year has to calculatedA=P1+R100T=300001+101001=30000×110100=33000By taking Rs33000 as principal, the SI for the next 12 year will be calculated asS.I=PRT100=33000×10×12100=1650Interest for the first year=Rs33000-30000=Rs3000And interest for the next 12 year=Rs1650Total C.I=Rs3000+1650=Rs4650So,Conession Percent=Rs4728.75-46504650×100=1.69%

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