Question

Find the compound interest on GHS 50,200 invested at 13% p.a. compounded annually for 3 years ( to the nearest

GHS).
Select one:
A. GHS 19,578
B. GHS 69,778
O
C. GHS 72,433
D. GHS 22.233
​

Answer 1

D

Explanation:

First found amount yielded

A = P(1+r)^nt

P is amount deposited 50,200

r is interest rate 13% = 13/100 = 0.13

t = 3

A = 50,200(1+0.13)^3

A = 50,200(1,13)^3

A = 72,433.42939999998

A is approximately 72,433.43

interest = A - P = 72,433.43-50,200 = 22,233.43= 22,233 to the nearest GHS