Hafeez invested Rs. 15,000 at an annual interest rate of 10%, compounded semi-annually. What will be the total amount he receives after one year?

Explanation

Given the principal amount of Rs. 15,000 and an annual interest rate of 10%, compounded twice a year, the half-yearly interest rate is 5%. For one year (which equals two half-year periods), the amount is calculated as: Amount = 15000 × (1 + 0.05)^2 = 15000 × 1.05 × 1.05 = Rs. 16,537.50.