Question

Calculate the compound
interest on investing $600 for
2 years at 7% per annum.​

Answer 1

$86.94

Explanation:

A = 600(1 + .07)²

I = 686.94

Answer 2

Compound Interest (CI) = Amount - principal

Amount = P(1 + R/100)^n

= 600(1+7/100)²

=600(107/100)²

A= 686.94

CI = A - P

= 686.94 - 600

Compound interest = 86.94$