Question

3. (a) Calculate the compound interest over an amount of N$ 58 000 that is invested for 6 years at a rate of 5% pa​

Answer 1

Answer:

The final balance is $78,243.04.

The total compound interest is $20,243.04.

Step-by-step explanation:

Year      Principal Yearly Interest    Total Interest    Total Balance

0            58,000 0                          0                        58,000

1             58,000 2,967.39             2,967.39           60,967.39

2            58,000 3,119.21                6,086.6             64,086.6

3            58,000 3,278.79              9,365.4             67,365.4

4            58,000 3,446.54              12,811.94           70,811.94

5            58,000 3,622.88              16,434.82         74,434.82

6            58,000 3,808.23              20,243.04        78,243.04