Sarah wants to invest £5000 for three years. She can choose between Bank P and Bank Q.
2.5% compound interest per annum
3% compound interest in the first year 2.2% compound interest for each extra year
Which bank will give Sarah the most interest after three years? You must show your working.
Practise OCR GCSE Maths Compound Interest and Depreciation with exam-style questions for Foundation and Higher tier. 44 questions, matched to the OCR GCSE Maths (J560) specification and written in the written papers style. Every question includes a full worked solution and mark scheme, so you can see where marks are awarded rather than just whether you got the answer right.