Solved UPSC CDS/OTA Question
A solved UPSC CDS/OTA PYQ - decoded step-by-step.
Solve it the standard way once - then learn the shortcut.
Q · Compound InterestPYQ · 45s
If the nominal rate is 10% p.a. compounded half-yearly, what is the effective annual rate?
TopicCompound Interest
Question Typemultiple choice
DifficultyPYQ
Marking+1 / −0.33
Test Duration30 min
Step-by-Step Solution
The complete worked solution.
Every step explained - no skipped algebra.
Effective = (1+0.10/2)^2 − 1 = 10.25%.
Final Answer: Option A - 10.25%