Question

Use the expression to solve the problems. P(1 + r)t

The amount that results when $4,000 is compounded at 6% annually over seven years.

The interest earned in this case.

Answer 1

Answer: A=4,000×(1+0.06)^(7)

A=6,014.52

Interest earned 6014.52-4000=2014.52

Answer 2

A=4,000×(1+0.06)^(7)
A=6,014.52

Interest earned 6014.52-4000=2014.52