Richard invested in a CD (certificate of deposit) savings account 3 years ago and figured 30% increase in his amount. He planned to invest $6,000 in another CD savings account at the same rate. How much interest, if compounded annually, would he receive after 2 years?

To find the annual compound interest rate, use the formula Amount = Principal * (1 + r/100)^t, where a 30% increase means the amount is 1.3 times the principal, so 1.3 = 1 * (1 + r)^3. Assuming the intended meaning is a 30% simple interest rate for the 3 years, the annual rate r is 10%. For the $6000 investment compounded annually at 10% for 2 years, the amount is 6000 * (1.1)^2 = 6000 * 1.21 = $7260, making the interest received $7260 - $6000 = $1260.

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