Question

(b) Principal = * 8000, Rate = 8% p.a., Time=2*1/2years​

Answer 1

Compound Interest = 9680

Explanation:

The formula of Compound Interest:
`A = P(1 + (r)/(n) )^n^t`

Where;

A = Compound Interest

P = Principal amount

r = Rate of interest

n = amount of deposite annually

t = total time

Therefore:

`A = 8000(1 + (0.08)/(1))^1^*^2^.^5`

`A = 8000(1 + 0.08)^2^.^5`

`A = 8000(1.08)^2^.^5`

A = 8000(1.21)

A = 9680

Therefore, the compound interest = 9680

Hope this helps!

Answer 2

Explanation:

time=1 years

interest=principal*time*rate/100

=8000*1*8/100

=64000/100

=640

therefore interest=640