Question

Kingston Federal Bank supervises all banks in Jamaica. One Jamaican dollar is equal to 0.0071 US dollars. If Usain Bolt made a $ 3,000 deposit with Kingston Federal Bank with a 5% growth rate, how much money would Usain Bolt have after two years? (dont use advanced math please)

Answer 1

Principal = $3000

Rate = 5%

time = 2

Amount after 2 years =

$\begin{gathered} =p(1+r)^t \\ =\text{ 3000( 1 + }\frac{5}{100})^2 \end{gathered}$$\begin{gathered} =3000(1+0.05)^2 \\ =\text{ 3000( 1.05)2} \\ =\text{ 3000 }\times\text{ 1.05 }\times\text{ 1.05} \end{gathered}$

= $3307.5

Option D is the correct answer