Rosanne is saving up money to buy a car. Rosanne puts 10, 000.00 into an account which earns 2% interest, compounded annually. How much will she have in the account after 3 years? round to the nearest cent

Solución

R os ann e i s s a v in g u p m o n ey t o b u y a c a r . R os ann e p u t s 10, 000.00 in t o an a cco u n t w hi c h e a r n s 2% in t eres t, co m p o u n d e d ann u a ll y . Ho w m u c h w i ll s h e ha v e in t h e a cco u n t a f t er 3 ye a rs ? ro u n d t o t h e n e a res t ce n t

Amount : 10612.08

Pasos de solución

Translate the problem into an equation:

A = 10000 (1 + \frac{0.02}{1})^{1 \cdot 3}

10000 (1 + \frac{0.02}{1})^{1 \cdot 3} = 10612.08

Amount : 10612.08