Question

pablo has $4200 to invest. pablo's goal is to have $5000 after 4 years. is this possible if he invests with a rate of return of 6%?

Answer 1

4200 * 1.06 = 4452.
4452 * 1.06 = 4719.12.
4719.12 * 1.06 = 5002.27

It would only take 3 years to reach $5000.

Answer 2

He would get $5208 after 4 years.

Explanation:

The principal amount that Peblo has = $4200

Peblo's goal is to have $5000 after 4 years.

Interest rate = 6%

Simple interest formula = I = P(rt)

=
`I=4200((6)/(100)* 4)`

I = 4200 (0.06 × 4)

I = 4200 (0.24)

I = 1,008

Interest would be 1,008.

Total amount 4200 + 1008 = $5,208

Pablo can reach his goal to have $5000 after 4 years.