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20 votes
If a person invests $100 at 4% annual interest, find the approximate value of

the investment at the end of 10 years.

User Drew Schmaltz
by
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1 Answer

21 votes
21 votes

Answer:

$140

General Formulas and Concepts:

Pre-Algebra

Order of Operations: BPEMDAS

  1. Brackets
  2. Parenthesis
  3. Exponents
  4. Multiplication
  5. Division
  6. Addition
  7. Subtraction
  • Left to Right

Algebra I

Simple Interest Rate Formula:
\displaystyle A = P(1 + rt)

  • P is principle amount
  • r is rate
  • t is time

Explanation:

Step 1: Define

Identify variables

P = 100

r = 4% = 0.04

t = 10

Step 2: Find Interest

  1. Substitute in variables [Simple Interest Rate Formula]: A = 100(1 + 0.04 · 10)
  2. (Parenthesis) Multiply: A = 100(1 + 0.4)
  3. (Parenthesis) Add: A = 100(1.4)
  4. Multiply: A = 140
User Michael Balint
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