Rob saves £500 in his bank account.
The bank pays 4% simple interest
per year.
a) How much interest will he have
earned after five years?
b) How much money will he have in
the bank after five years?
Rob saves £500 in his bank account.
The bank pays 4% simple interest
per year.
a) How much interest will he have
earned after five years?
b) How much money will he have in
the bank after five years?
Answer:
step 1: =4% of £500
=20
=20 × 5 years
= 100
= £500 + £100
=£600 ….therefore Rob will have £600 in his bank account after years.