Question

You deposit $2000 each year into an account earning 3% interest compounded annually. How much will you have in the account in 25 years?

Answer 1

This is what I get. Total will be 4187.56 with Interest 2187.56. By using the formula: To find amount : A=p (1+r/n)^n×t Where P=2000,r=3%,n=1,t=25 So plug in and solve A=2000(1+0.03/1)^1×25 To find interest you use formula A=p+I A=4187.56, p=2000,i= we need to find. 4187.56=2000+I 4187.56-2000=I 2187.56=i