Question

Sally invests £8000 in a savings account.

The account pays 2.8% compound interest per year.
Work out the value of her investment after 4 years.
Give your answer to the nearest penny.

Answer 1

£8934.24

Explanation:

100 + 2.8 = 102.8

102.8 / 100 = 1.028

8000 x
`1.028^(4)` = £8934.24