Question

compounded annually.
Find the amount and the compound interest on 8000 at 5% per annum, for 2 years compound annually​

Answer 1

Answer:

8820

Step-by-step explanation:

Principal : 8000

Rate : 5% per annum

Time : 2 years

Amount = Principal ( 1 + rate/100$)^{2}$

             = 8000 ( 1 + 5/100 $)^{2}$

             = 8000 ( 1 + 1 / 20 $)^{2}$

             = 8000 x 21/20 x 21/20

             = 8820