Question

Please answer question that is attached below.

Answer 1

The total interest on the account is $1248 after 241 days

How to determine the total interest

Using the formula

A = P
`(1+(r)/(n)) ^(nt)`

Where A = Future value of investment = ?

P = Principal = $49000

r = annual rate = 3.81% = 0.0381

n = number of time the interest is compounded = 365

t = time = 241/365 (in year)

A = $49000(1+0.0381/365)
`^{365*(241)/(365) }`

A = $49000(1.0001044)
`^(241)`

A = $49000 * 1.02547

A = $50248

To find the total interest earned by subtracting the original principal:

Total Interest = A - P

= $50248 - $49000

= $1248

Therefore, the total interest on the account is $1248 after 241 days