Question

If the apy of a saving account is 2.8% and if the principal in the savings account is $2600 for an entire year, what will be the balance of the savings account after all the interest is paid for the year

Answer 1

$2672.80

Explanation:

a.p.e.x

Answer 2

`\$2,672.80`

Explanation:

we know that

The simple interest formula is equal to

`A=P(1+rt)`

where

A is the Final Investment Value

P is the Principal amount of money to be invested

r is the rate of interest

t is Number of Time Periods

in this problem we have

`t=1\ year\\ P=\$2,600\\r=0.028`

substitute in the formula above

`A=\$2,600(1+0.028*1)=\$2,672.80`