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Molly invests 3,478 in a savings account with 2% interest

2 Answers

5 votes
still need an answer if you do reply back
User Napon
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4 votes

Answer:

Assuming that the interest rate is annual and compounded once a year, we can calculate the amount of money that Molly will have after one year in the savings account as:

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

where:

P is the principal amount (the initial investment), which is 3,478 in this case

r is the annual interest rate, which is 2% expressed as a decimal (0.02)

n is the number of times the interest is compounded in a year, which is 1 since it is compounded once a year

t is the time in years, which is 1 since we are calculating the amount after one year

A is the amount of money Molly will have after one year

Plugging in the values, we get:

A = 3,478(1 + 0.02/1)^(1*1)

A = 3,478(1.02)

A = 3,546.56

Therefore, after one year, Molly will have $3,546.56

User Reft
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