Explore Westonci.ca, the leading Q&A site where experts provide accurate and helpful answers to all your questions. Join our platform to connect with experts ready to provide accurate answers to your questions in various fields. Join our Q&A platform to connect with experts dedicated to providing accurate answers to your questions in various fields.


A man invests K8 000 for 5 years at 10%p.a. compound interest.

Calculate the investment value at the end of 5 years.​


Sagot :

Answer:

Step-by-step explanation:

Compoud interest is the addition of interest to the principal sum of a loan or deposit, or in other words, interest on interest. the formula is:

[tex]c_n=c_o(1+i)^n\\\\c_o->initial~invesment\\i->interest\\n->number~of~ intervals[/tex]

[tex]c_5=8000(1+\frac{10}{100})^5\\c_5=12848.88[/tex]