Rakesh lent out Rs 10000 for 2 years at 20% per annum, compounded annually. How much more he could earn if the interest be compounded half-yearly?

Explanation

To solve the problem step by step, we will calculate the amount Rakesh would earn when the interest is compounded annually and then when it is compounded half-yearly. Finally, we will find the difference between the two amounts.

### Step 1: Calculate the amount when interest is compounded annually.

- **Principal (P)** = Rs 10,000
- **Rate of interest (R)** = 20% per annum
- **Time (T)** = 2 years

...