£3000 is invested for 2 years at 3.8% per annum compound interest. What is the total interest earned over the 2 years?

We can use the following formula: Amount after n years' compound interest = Initial amount x (1 + r)n r = The interest rate in decimal form. n = Number of years. Simply plug the values into our formula: £3000 x (1.038)= £3232.33 This gives us the TOTAL value of the investment after 2 years. We only want to find out the total interest earned, so we need to subtract the original value from the new value: £3232.33 - £3000 = £232.33 Answer: Interested earned over 2 years is equal to £232.33.

AT
Answered by Arisera T. Maths tutor

9066 Views

See similar Maths GCSE tutors

Related Maths GCSE answers

All answers ▸

The point P, (-1,4) lies on a circle C that is centered about the origin. Find the equation of the tangent to the circle at point P.


How do i factorise 20 + 10x?


Azmol, Ryan and Kim each played a game. Azmol’s score was four times Ryan’s score. Kim’s score was half of Azmol’s score. Write down the ratio of Azmol’s score to Ryan’s score to Kim’s score.


If f(x) = 5 – x and g(x) = 3x + 7, simplify f(2x) + g(x – 1)


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

© MyTutorWeb Ltd 2013–2025

Terms & Conditions|Privacy Policy
Cookie Preferences