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Find the compound amount for the deposit. Rouna to ti $19,000 at 8% compounded annually for 19 years

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Final answer:

To find the compound amount of a $19,000 deposit at 8% interest compounded annually for 19 years, you use the compound interest formula. The compound amount turns out to be $76,757.85.

Step-by-step explanation:

The question asks to calculate the compound amount for a deposit of $19,000 at an annual interest rate of 8% compounded annually for 19 years. To find the compound amount, we can use the compound interest formula: A = P(1 + r/n)^(nt), where A is the amount of money accumulated after n years, including interest, P is the principal amount (the initial amount of money), r is the annual interest rate (decimal), n is the number of times that interest is compounded per year, and t is the time the money is invested or borrowed for, in years.

In this case, P = $19,000, r = 0.08 (as 8% is 0.08 as a decimal), n = 1 (since interest is compounded annually), and t = 19 years. Using the formula, we calculate:

A = 19000(1 + 0.08/1)^(1*19)

A = 19000(1 + 0.08)^19

A = 19000(1.08)^19

A = 19000 * 4.039887

A = $76,757.85

Therefore, the compound amount after 19 years will be $76,757.85.

User Tobias Furuholm
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