Final answer:
The amount in the bank account after 7 months with compound interest at a rate of 0.5% per month would be approximately £1625.51.
Step-by-step explanation:
To calculate the final amount of money in an account after 7 months with compound interest, we use the formula for compound interest, which is A = P(1 + r/n)^(nt). In this scenario, P is the principal amount (£1570), r is the annual interest rate (0.5% per month, which would be 6% per year if we were to convert it), n is the number of times interest is compounded per year (12 times, since it's compounded monthly), and t is the time the money is invested for in years (7/12 years since we're calculating for 7 months).
However, we are given a monthly rate and time in months, so the calculation is simplified to A = P(1 + r)^t where r is the monthly interest rate (0.005) and t is 7 months.
The calculation will therefore be £1570(1 + 0.005)^7. This results in:
£1570(1.005)^7 = £1570(1.035355617) ≈ £1625.51
Therefore, after 7 months, the amount in the account with compound interest would be approximately £1625.51.