Question

colin invests £2200 into his bank account. He receives 2.5% per year simple interest. How much will Colin have after 3 years? Give your answer to the nearest penny where appropriate.

Answer 1

Answer:

S

Step-by-step explanation:

S. I=(p*r*t)/100

here:p=principal amount =£2200

r=rate of interest =2.5%

t=time=3years

s. i=(2200*2.5*3)/100=165

simple int. for one year =165

simple int. for three year=165*3=495

the amount he get after three year is=£2200+£495=£2695

Answer 2

Principal(P) = £2200

Rate of interest(R) = 2.5%

Time (t) = 3 years

$amount(a) =p (1 + \frac{tr}{100})$

$a = 2200(1 + \frac{3 \times 2.5}{100} )$

$a = 2200(1 + \frac{7.5}{100})$

$a = 2200( \frac{100}{100} + \frac{7.5}{100} )$

$a = 2200( \frac{107.5}{100})$

$a = 22( 107.5)$

$a = 2365$

We know that 1 pound = 100 pence

So, 2365 pounds = 2365 * 100 = 236500 pence

Therefore money with Colin after 3 years will be 236500 pence.