Question

Help please I don’t know the answer

Answer 1

$16,534.95

Explanation:

To compute interest on loans, we use the compounded interest equation. We use the equation
`A=P(1+(r)/(n))^(nt)` where

• P is the principle or starting value

• A is the total amount after interest and a period of time

• r is the rate at which interest gathers as a decimal

• t the time in years

• n is the number of times compounded in a year.

For this problem, we know P=$8000, r=19%=0.19, t=4 years and n=2. We substitute into the formula and simplify to find the total amount A.

`A=P(1+(r)/(n))^(nt)\\A=8000(1+(0.19)/(2))^(2(4))\\A=8000(1+0.095)^(8)\\A=16,534.95`