Mary invest £12000 in a savings account.the account pays 1.5% compound interest per year.work out the value of her investment after 2 Years

 For this case we have an equation of the form:
 [tex]y = A * (b) ^ t [/tex]
 Where,
 A: initial investment
 b: growth rate
 t: time in years.
 Substituting values we have:
 [tex]y = 12000 * (1,015) ^ t [/tex]
 Then, for 2 years we have:
 [tex]y = 12000 * (1,015) ^ 2 y = 12362.7[/tex]
 Answer:
 The value of the investment of it after two years is given by:
 y = 12362.7