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14 votes
14 votes
1.6 ACSF L5 SC Number: Simple and Compound Interest

Sandra plans to retire and can receive a lump sum of $26,376 from her pension provider.
2
She decides to invest of the lump sum for 8 years and use the rest for travelling.
3
Her bank account pays 4.99% compound interest per annum.
How much interest will Sandra receive from this investment after 8 years?
Round your answer to the nearest thousand dollars.
$

User ChrJantz
by
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1 Answer

10 votes
10 votes

Answer:

$12,000

Explanation:


p(({1 + i})^(n) - 1)


26376( ({1 +.0499 })^(8) - 1) \\ = 12000

User Nicolae Dascalu
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