24.02.2021

Bella invests £5000 in an account for two years.
The account pays 3% compound interest per annum.
Bella has to pay 20% tax on the interest earned each year.
This tax is taken from the account at the end of each year.
How much money will Bella have in her account at the end of the two years?

. 15

Step-by-step answer

06.01.2022, solved by verified expert
Unlock the full answer
1 students found this answer . helpful
Answer: after two years , Bella's account will have $5242.88.

Explanation:
The amount of money in the account after a year can be calculated through the equation:
F=P*(1+i)^n.
1st year:
F = (£5000)*(1+0.03)^1=£5150.
The interest earned is £150. 20% of this is £30 leaving £5120.
2nd year:
F = (£5120)*(1.03)^1=$5273.6.
The interest earned in this year is £153.6. 20% of this is £30.72. The amount that is left in the account is $5242.88.
It is was helpful?

Faq

Mathematics
Step-by-step answer
P Answered by PhD
The amount of money in the account after a year can be calculated through the equation,

      F = P x (1 + i)^n

1st year:
 
      F = (£5000)(1 + 0.03)^1 = £5150

The interest earned is £150. 20% of this is £30 leaving £5120. 

2nd year:

     F = (£5120)(1.03)^1 = $5273.6

The interest earned in this year is £153.6. 20% of this is £30.72. The amount that is left in the account is $5242.88

ANSWER: $5242.88
Mathematics
Step-by-step answer
P Answered by PhD
The amount of money in the account after a year can be calculated through the equation,

      F = P x (1 + i)^n

1st year:
 
      F = (£5000)(1 + 0.03)^1 = £5150

The interest earned is £150. 20% of this is £30 leaving £5120. 

2nd year:

     F = (£5120)(1.03)^1 = $5273.6

The interest earned in this year is £153.6. 20% of this is £30.72. The amount that is left in the account is $5242.88

ANSWER: $5242.88
Mathematics
Step-by-step answer
P Answered by PhD

SI=(P*R*T)/100

P=2000

R=1.5

T=6

SI=(2000*1.5*6)/100

=(2000*9)/100

=180

Neil will earn interest of 180

Mathematics
Step-by-step answer
P Answered by PhD

The answer is in the image 

The answer is in the image 
Mathematics
Step-by-step answer
P Answered by PhD

y=2x+15

where y=Value of coin

x=Age in years

Value of coin after 19 years=2*19+15

=$53

Therefore, Value after 19 years=$53

Mathematics
Step-by-step answer
P Answered by PhD

F=ma

where F=force

m=mass

a=acceleration

Here,

F=4300

a=3.3m/s2

m=F/a

    =4300/3.3

    =1303.03kg

Mathematics
Step-by-step answer
P Answered by PhD

The solution is given in the image below

The solution is given in the image below
Mathematics
Step-by-step answer
P Answered by PhD

The wood before starting =12 feet

Left wood=6 feet

Wood used till now=12-6=6 feet

Picture frame built till now= 6/(3/4)

=8 pieces

Therefore, till now 8 pieces have been made.

Try asking the Studen AI a question.

It will provide an instant answer!

FREE