Question

Jordan invests £2100 into his bank account.

He receives 5.1% per year simple interest.
How much will Jordan have after 2 years?
Give your answer to the nearest penny where appropriate.

Answer 1

£4414.20

Explanation:

Find out how much is 1% of the money invested in his bank account.

100% = 2100

1% = 2100 ÷ 100 = 21

Find out 5.1% which is his interest that he receives every year.

5.1% = 21 x 5.1 = 107.1

Find out how much he receives including interest every year.

2100 + 107.1 = 2207.1

Find out how much he will have after 2 years.

2207.1 x 2 = 4414.2

You do not need to estimate as there isn't an estimated for nearest penny as it has been estimated for you.