Question

Colin has 29,820 in a saving account that earn 7% interest per year how much will he have in four years

Answer 1

Step-by-step explanation

Since the initial amount of money was of $29,820, and the account earns interest rate by a reason of 7% per year, we can use the simple interest rate equation as shown as follows:

`Simple\text{ Interest = P}\cdot r\cdot t`

Where P=Principal= 29,820, r=rate in decimal form=7/100=0.07 , t=time in years=4,

Plugging in the numbers into the expression:

`\text{Interest}=29,820\cdot0.07\cdot4`

Multiplying numbers:

`\text{Interest}=8,349`

Adding the Interest to the Initial Capital: 29,820+8,349 = 38,169

In conclusion, Colin will have $38,169 after 4 years