Foundation November 2022 Paper 1 Q20
20 Rowan invests £4000 at a rate of 3.5% per year compound interest.
Calculate the value of Rowan’s investment after 5 years.
Give your answer correct to the nearest penny.
£ .................... [3]
| Answer | Marks | Part marks and guidance | |
|---|---|---|---|
| 4750.75 | 3 | M2 for \(4000 \times (1.035)^5\) oe may be implied by 4750.74 or 4750.745... M1 for \(4000 \times (1.035)^k\) \((k \ne 5\) and \(k \geqslant 2)\) | oe includes \(4000\left(1 + \dfrac{3.5}{100}\right)^5\) May be done as separate years, mark method, condone premature rounding. |