Neco 2018 Civic Education Question 29

A public official embezzles 5% of the annual budget of a development project each year for four consecutive years. The project's budget is \(200\) million Naira in the first year and grows by 3% each subsequent year due to inflation. The embezzled amounts are invested at an annual compound interest rate of 8% and are recovered at the end of the fourth year.\n\n(a) Calculate the total amount recovered (principal plus interest) at the end of the fourth year (in millions of Naira, to two decimal places).\n(b) If the anti‑corruption agency imposes a fine equal to 150% of the recovered amount, what is the total financial loss to the state (in millions of Naira, to two decimal places)?