Compound Interest & Depreciation

Liam invests £6200 for 3 years in a savings account.
He gets 2.5% per annum compound interest.

How much money will Liam have in his savings account at the end of 3 years?

Peter has £20 000 to invest in a savings account for 2 years.

He finds information about two savings accounts.

Peter wants to have as much money as possible in his savings account at the end of 2 years.

Which of these savings accounts should he choose?

This notice was in a car magazine.

Paul bought a new car.
The value of the car was £15 000

In the first year, the value of the car depreciated by 23%.
After the first year, the value of the car depreciated by 18% each year.

Work out if Paul's car lost more than half of its value by the end of three years.

Derek buys a house for £150 000
He sells the house for £154 500

Work out Derek's percentage profit.

Derek invests £154 500 for 2 years at 4% per year compound interest.

Work out the value of the investment at the end of 2 years.

Anil wants to invest £25 000 for 3 years in a bank.

Which bank will give Anil the most interest at the end of 3 years?

You must show all your working.

Katy invests £200 000 in a savings account for 4 years.
The account pays compound interest at a rate of 1.5 % per annum.

Calculate the total amount of interest Katy will get at the end of 4 years.

Zhi bought a house on 1st January 2017
When she bought the house, its value was 120 000 yuan.

The value of the house increased by 1.8% per year.

Work out the value of Zhi’s house on 1st January 2020
Give your answer correct to 3 significant figures.

....................................................... yuan

Ali and Badia each have 25000 dollars to invest.

Ali invests in the Cyclone Bank for 3 years.
Badia invests in the Tornado Bank for 3 years.

By the end of the 3 years, Ali will have received more interest than Badia.

How much more?
Show your working clearly.
Give your answer correct to the nearest dollar.

....................................................... dollars

Hamish buys a new car for $20 000
The car depreciates in value by 19% each year.

Work out the value of the car at the end of 3 years.
Give your answer to the nearest $.

$ .....................

The value of a house is £120 000
The value is expected to increase by 5% each year.

Work out the expected value after 4 years.
Give your answer to 2 significant figures.
You must show your working.

£..............................

Himari invests 200 000 yen for 3 years in a savings account paying compound interest.
The rate of interest is 1.8% for the first year and for each of the second year and the third year.

The value of the investment at the end of the third year is 209 754 yen.

Work out the value of
Give your answer correct to one decimal place.

...................................................... [3]

Alan invests $200 at a rate of  per year compound interest.
After 2 years the value of his investment is $206.46.
 
Show that     .
 

[3]

Edna invests $500 at a rate of % per year compound interest.
At the end of 6 years, the value of Edna’s investment is $559.78.
 
Find the value of .
 

................................................ [3]

Hans invests $550 at a rate of % per year compound interest.
At the end of 10 years, the value of the investment is $638.30, correct to the nearest cent.

Find the value of

= .............................................. [3]