Question

I'm stuck on number 6! Help!

Toby invested £7500 for 2 years in a saving account. He was paid 4% per annum compound interest. How much money did Toby have in his savings account at the end of 2 years?

Answer 1

Hi.

For this, you do:
4% of 7500 = 300

He is given $300 per year, for two years.
1st year= 7500+300= 7800
2nd year= 7800+300= 8100

answer= $8100

Hope this helps:)