Respuesta :
Answer:
The amount Mary would have in her account in 5 years is approximately £13,131.7
Step-by-step explanation:
The amount Mary deposits in the account, P = £10,000
The amount in interest paid by the account, r = 5.6%
The mode by which the interest is calculated = Compound interest
The number of years for which the amount (£10,000) will be kept in the account, t = 5 years
The number of times that the given interest applies per year, n = 1
The amount, "A", Mary would have in her account in 5 years, is given by the compound interest formula as follows;
[tex]A = P \cdot \left ( 1 + \dfrac{r}{n} \right ) ^{n \cdot t}[/tex]
Where;
A = The amount accrued in the account after the given elapsed periods
P = The principal or initial balance in the account = £10,000
r = The compound interest rate = 5.6/100
n = The number of times the interest is applied in one period of time = 1
t = The sum of the duration for the interest applies = 5
Substituting the given values, we have;
[tex]A = 10,000 \times \left ( 1 + \dfrac{0.056}{1} \right ) ^{1 \times 5} = 13,131.65883211776[/tex]
Therefore, the amount Mary would have in her account in 5 years = A ≈ £13,131.7
