Nigerian Savings Bank pays interest at 9½% per annum compounded yearly. What is the amount if a person saves: a N 5000 for 2 years
b N10 000 for 4 years
c N28 000 for 3 years?

  a) N5995.13

  b) N14376.61

  c) N36762.11

Step-by-step explanation:

For repetitive calculations, I like to use a spreadsheet or graphing calculator. __

The formula for the amount is ...

  A = P(1 +r)^t . . . . . . where principal P is invested for t years at rate r compounded annually

The principal being invested is P = 5000. The interest rate is r = 9.5% = 0.095, and the time is t = 2 years. Putting these values into the formula gives ...

  A = 5000(1 +0.095)^2

  = 5000(1.199025) = 5995.125

This rounds to an account balance after 2 years of N5995.13.

The calculations for the other amounts and time periods are done the same way, but for different values of P and t. You can do these calculations by hand, but it is generally much easier to use a calculator, spreadsheet, or other tool.

The attachment shows use of a tool that lets a function be defined that takes P and t as arguments. It is shown as being evaluated for the different values of P and t in this problem.

  A = N10,000(1 +0.095)^4 = N10,000(1.43766095) = N14376.6095

This rounds to an account balance after 4 years of N14376.61.

  A = N28000(1.095)^3 ≈ N36762.11

idk man good luck man