Mrs may is planning for her son's graduation and decides to invest her bonus money for two years. She invests the money in an institution offering interest that is compounded annually at an interest rate of 5.8% for the first year and 6,5% for the second year.
An annual bonus is a 13th chequered which is equal to a monthly salary without deductions.
She only used one year's annual bonus.
Her annual income is R 336000 after she received an increase of 6.5%.
4.1 calculate her annual income before she received the increase.
4.2 Calculate how much money will be paid out to her after the two year period