a trader needs #300000 to improve her business she deposits #110000 in her savings account at 5%per annum compound interest she then adds #50000 to her savings at the end of each year a)find her total savings after three years workings pls?

Oyewumiolaniran

6 years ago

P=110000
R=5%
Interest after 1st year=PRT/100
=110000*5*1/100
=#5,500
Amount after 1st year=P+I+amount she added
A=110000+5500+50000
A=#165,500
Interest after 2nd year=165500*5*1/100
I=#8275
Amount after 2nd year=165500+8275+50000
A=#223,775
Interest after 3rd year=223775*5*1/100
I=11188.75
Amount after 3rd year=223775+11188.75+50000
A=284,963.75
Note:the amount at the end of a year becomes the interest for the next year

wilsonm

6 years ago

she deposits 110,000.
at end of first year, she has 110,000 * 1.05 = 115,500.
she adds 50,000 to get 165,500.
at end of second year, she has 165,500 * 1.05 = 173,775.
she adds 50,000 to get 223,775.
at end of third year, she has 223,775 * 1.05 - 234963.75.
she adds 50,000 to get 284,963.75.
she needs 300,000
she is short by 300,000 - 284,963.75 = 15,036.25

Jerrycurl12

6 years ago

P=110000
R=5%
Interest after 1st year=PRT/100
=110000*5*1/100
=#5,500
Amount after 1st year=P+I+amount she added
A=110000+5500+50000
A=#165,500
Interest after 2nd year=165500*5*1/100
I=#8275
Amount after 2nd year=165500+8275+50000
A=#223,775
Interest after 3rd year=223775*5*1/100
I=11188.75
Amount after 3rd year=223775+11188.75+50000
A=284,963.75