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serg [7]
3 years ago
7

Colin invests £2350 into a savings account. The bank gives 4.2% compound

Mathematics
1 answer:
marin [14]3 years ago
5 0

Answer:

Answer:

£3692

Step-by-step explanation:

A = p(1 + r/n)^nt

Where,

A = future value

P = principal = £2350

r = interest rate = 4.2% = 0.042

n = number of periods = 1(annual)

t = time = 4 years

A = p(1 + r/n)^nt

= 2350(1 + 0.042/1)^1*4

= 2350(1 + 0.042)^4

= 2350(1.042)^4

= 2350(1.5789)

= 2770.42

A = £2770.42

Total years = 10

Remaining years = 10 – 4

= 6 years

Remaining 6 years

P = £2770.42

r = 4.9% = 0.049

n = 1

t = 6

A = p(1 + r/n)^nt

= 2770.42(1 + 0.049/1)^1*6

= 2770.42(1 + 0.049)^6

= 2770.42(1.049)^6

= 2770.42(1.3325)

= 3691.59

A = £3691.59

Approximately £3692

Thank you!

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=====================================================

Explanation:

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-----------------

As a way to check, we can plug x = 3 into each equation. We should get y = -2 as a result for each equation

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