The effective annual rate of interest corresponding to a nominal rate of 10% per annum payable half-yearly is?  Choose the most appropriate option.
A) 10.06% B) 10.25% C) 10.35% D) 16.09% E) 16.19%
Amount of Rs. 100 for 1 year when compounded half-yearly = [100 * (1 + 5/100)2] = Rs. 110.25 Effective rate = (110.25 - 100)= 
<gadget id="calculator">(110.25 - 100)</gadget>
<output>10.25</output>
10.25%   ANSWER:10.25%
<result>B</result>
The effective annual rate of interest corresponding to a nominal rate of 10% per annum payable half-yearly is?