Answer:
Explanation:
we know that
The compound interest formula is equal to
where
A is the Final Investment Value
P is the Principal amount of money to be invested
r is the rate of interest in decimal
t is Number of Time Periods
n is the number of times interest is compounded per year
step 1
Find the final investment for the first two years
we have
substitute in the formula above
step 2
Find the final investment for the next 4 years
we have
substitute in the formula above
Round to the nearest pound