Brian invests £8300 into his bank account. He receives 1.4% per year compound interest. How much will Brian have after 7 years? Give your answer to the nearest penny where appropriate.

The nearest penny will be £9146.6

Step-by-step explanation:

A = P[1 + (r/n) ]^ (nt)

A = final amount

P = initial principal balance

r = interest rate

n = number of times interest applied per time period

t = number of time periods elapsed

A = 8300 [ 1 + {1.4 / (7*100) }]^ (7*7)

A = 8300 [ 1 + {0.002}]^ (49)

A = 8300 [ 1.002 ]^ (49)

A = 8300 [ 1.102 ]

A = £9146.6

What is Compound Interest (CI) ?

Compound Interest is all about adding interest to principal amount of loan, deposit.