If you used $8, then you must add 8 to 32 which equals $40
1/5 is .2
.1^2 is .01
.02 is .02
So the furthest left would be the smallest number, which in this case is 0.1^2
We know that, Amount in Compound interest is given by :

Given : Principal = $2000
Given : Annual yield is 5% and the interest is compounded quarterly
It means : Interest is compounded 4 times in a year


Substituting all the values in the formula, we get :






