Compound Interest - Aptitude Questions and Answers Part 4

16. Interest Rate: 5% compounded half yearly.
Amount deposited:
i. Rs 1600/- on 1st January.
ii. Rs 1600/- on 1st July.

What is his earning at the end of the year through interest?

a. Rs. 120
b. Rs. 121
c. Rs. 122
d. Rs. 123

Answer: b. Rs. 121