Question

use the formula for future value A=P( 1 + rt ) and elementary algebra to find the missing quantity. A= $2,176 r = 7% t= 4 years

Answer 1

For this case we have the following info:

A= 2176$ represent the present value

r= 7% = 0.07

t= 4 years

Replacing into the formula:

`A=P(1+rt)`

We got:

`A=2176(1+0.07\cdot4)=2785.28`

then the answer would be:

2785.28$