A charity deposits £8,000 from its reserve fund in an account paying simple interest. The account pays 2.5% interest in the first year and 3.5% in the second year. Calculate the total interest earned over the two years.
82 exam-style questions on OCR GCSE Economics 2.8 The role of money and financial markets, covering 2.8.1 Money as a medium of exchange, 2.8.2 Role of the financial sector, 2.8.3 Importance of the financial sector, 2.8.4 Interest rates and saving, borrowing, investment, and 2.8.5 Effect of interest rate changes. Each one has a worked solution and a mark scheme showing where the marks go.